Housing report

Coronavirus housing report highlights localities vulnerable to economic impact

ATTOM released its fourth quarter 2021 coronavirus special report, highlighting county-level housing markets in the United States that have been found to be more or less vulnerable to damage from the ongoing coronavirus pandemic that still puts endanger the American economy.

The report shows that New Jersey, Illinois and parts of California had the highest concentrations of the riskiest markets in the fourth quarter, with the largest clusters still in the New York and Chicago area.

Fourth-quarter trends, which continued last year’s trends, found that New Jersey, Illinois and California had 31 of the 50 counties most vulnerable to the potential economic impact of the pandemic. The 50 most at risk included eight counties in the Chicago metro area, eight near New York and seven in northern, central and southern California.

The remaining top 50 counties were scattered mostly along the East Coast, including two of Delaware’s three counties and three counties in the Philadelphia metropolitan area.

“The U.S. housing market continues to turn despite the coronavirus pandemic still raging across the country. Indeed, home prices continue to rise in part due to the crisis,” said ATTOM’s CPO, Todd Teta. “Nevertheless, the virus remains a potent threat to the broader economy and housing market, with some of the same counties we’ve seen in the past continuing to look vulnerable to potential downturns. There are no immediate warning signs hanging over part of the country, but the pockets are more vulnerable to market deterioration.”

Prices soared more than 10% across most of the country last year, due to and despite the ongoing pandemic which slowed or slowed major sectors of the economy in 2020. Throughout the year elapsed, a wave of buyers flooded the housing market. amid a combination of historically low mortgage rates and a desire by many to trade congested, virus-prone areas for the perceived safety and larger space offered by a home or condo.

Twenty-eight of the 50 U.S. counties most vulnerable in Q4 2021 to pandemic-related housing market issues were in the New York, NY, Chicago, IL, and Philadelphia, PA metro areas, as well as Delaware and California.

The areas included in Chicago and its suburbs were:

  • to cook
  • DeKalb
  • DuPage
  • Kane
  • kendall
  • Lake
  • McHenry
  • Will be

The zones found in New York City subways were:

  • Bergen
  • Essex
  • Hunterdon
  • middlesex
  • ocean
  • Passaic
  • sussex

Major home ownership costs for median-priced single-family homes consumed more than 30% of average local wages in 32 of the 50 counties most vulnerable to market issues related to the virus pandemic in the fourth quarter.

At least 10% of residential mortgages were underwater in the third quarter of 2021 in 18 of the 50 most at risk counties. Nationally, 7.1% of mortgages fall into this category. More than one in 1,500 residential properties were foreclosed in the fourth quarter of 2021 in 36 of the 50 most at-risk counties. Nationally, one in 2,446 homes was in this situation.

To read the full report, Click here.