South Carolina posted the worst foreclosure rate of any state in the country in August, according to ATTOM’s latest housing market report, with one filing recorded for every 1,547 housing units statewide. That put South Carolina ahead of Nevada, where the rate was one filing per 1,920 units, and well ahead of Florida, Texas and Maryland, which rounded out the five states with the highest foreclosure rates last month.
The Charleston metro area landed among the worst-performing regions nationally as well. Among metro areas with populations of at least 200,000, Charleston ranked fifth in the country with one foreclosure filing for every 1,501 housing units, trailing Columbia, Punta Gorda, Spartanburg and Fayetteville. Notably, three of the five worst-ranked metro areas in the country were in South Carolina, a concentration that real estate analysts described as unusual for a state that has not traditionally dominated national foreclosure rankings.
Ben Mizes, president of Clever Real Estate and a licensed agent, said the pattern reflects a mix of pressures rather than any single cause. Higher borrowing costs, rising insurance premiums and broader affordability strain are making it harder for homeowners who fall behind to catch back up, he said, adding that the local story in any given market often comes down to job conditions, home-price shifts, investor activity and how much home equity owners have to fall back on.
Nationwide, ATTOM tracked 40,277 properties with some type of foreclosure filing in August, spanning default notices, scheduled auctions and bank repossessions. That national total remains above year-ago levels even as the states driving the increase have shifted, with South Carolina and its Charleston-area metro now factoring more heavily into the national picture than in past reports.
For Charleston-area homeowners, the ranking adds another data point to a housing market already grappling with elevated mortgage rates and rising costs of ownership, even as the region’s population and job growth continue to outpace much of the country.
