Demand for single-family homes surged in the past two years, as the coronavirus pandemic prompted people to look for more living space. The increased demand, facilitated by low-interest rates and coupled with supply constraints, led to soaring home prices. (These are 15 cities with the most overpriced housing markets.)

But now the U.S. housing market appears to be coming back to earth, with some parts of the country showing early distress signs. Foreclosure filings -- a measure of the health of housing markets at local, state, or national levels -- are on the rise across the country.

According to Attom, a curator of land and property data, home foreclosure filings - which include default notices, bank repossessions, and scheduled auctions - are up 153% in the first half of 2022 compared to the same period last year.

In New Jersey, foreclosures rose by 245.0%, from 2,660 in the first six months of 2021 to 9,177 in the first half of 2022. The foreclosure rate in the state of one in every 410 homes ranks as the second highest in the nation.

According to five-year estimates from the U.S. Census Bureau's 2020 American Community Survey, 66.0% of homeowners in New Jersey are paying down a mortgage, the 12th largest share among states.

The typical household in the state has an income of $85,245 a year, and the typical home is worth $343,500. For context, the typical American household's annual income is $64,994, and the national median home value is $229,800.

Source: thecentersquare.com