Delinquencies and foreclosures
Kentucky’s foreclosure-inventory rate was 0.9 percent this past December,
according to CoreLogic, just slightly higher than the 0.8 percent national
rate. The state’s serious delinquency rate, a measure of future foreclosure
activity, stood at 2.8 percent, 20 basis points higher than the national rate.
These rates were low compared to other judicial-foreclosure states, however. Only five other judicial states posted lower rates in both categories.
Kentucky foreclosure activity has remained steady over the past four
years, according to Attom Data Solutions, ranging from 2,000 to 2,500 filings (defaults, auctions, and bank repossessions) per quarter since 2013,
after peaking at more than 4,000 filings in third-quarter 2010. Filings
dropped below 2,000 per quarter for the first time in more than seven
years in fourth-quarter 2016, however, and again in first-quarter 2017.
Kentucky’s unemployment rate was a full percentage point higher than
the national rate in January 2007, months before the beginning of the
Great Recession. Needless to say, the state’s unemployment rate skyrocketed in 2008 and 2009, going from 5. 8 percent in April 2008 to 10. 6 percent
in April 2009, according to data from the U.S. Bureau of Labor Statistics.
Kentucky’s unemployment rate stayed above 10 percent for 21 months,
from March 2009 until November 2010, and remained above 8 percent
until October 2013. The unemployment rate declined dramatically in
2014, however, decreasing from 7 percent in April 2014 to 5. 3 percent in
December 2014. Since then, Kentucky’s unemployment rate has stayed
within a few basis points of the national average, which was at 4. 4 percent as of this past April.
Sources: Attom Data Solutions, Center for Business and Economic Research, CoreLogic,
Kentucky Bourbon Festival, Kentucky Governor’s Office for Economic Analysis, Kentucky
Department of Travel, The Lane Report, liveinlou.com, National Association of Realtors,
Neighborhood Scout, University of Kentucky, Urban Studies Institute, U. S. Bureau of
Labor Statistics, U. S. Census Bureau, visitbardstown.com, visitlex.com
Will McDermott is editor of Scotsman Guide Residential Edition.
Reach him at (800) 297-6061 or firstname.lastname@example.org.
Settled in 1780, Bardstown is the second-oldest city in Kentucky.
Its historic downtown contains almost 200 buildings on the National
Register of Historic Places, including a stagecoach stop built in 1779.
Recently named the “Most Beautiful Small Town in America,” Bardstown
is better known as “the Bourbon Capital of the World.” The city has made
bourbon since 1776, and hosts the annual Kentucky Bourbon Festival every fall. Home to 13,000 lucky people, Bardstown median home
value is a reasonable $135,000.
The largest city in Kentucky, Louisville is probably best known as
home to Churchill Downs, the site of the annual Kentucky Derby. More
than 600,000 people live in the greater Louisville area, but according
to liveinlou.com, the city has more barrels of bourbon than people,
as well as 31,000 open jobs. The median home price in Louisville is
$146, 169, according to Neighborhood Scout, more than $75,000 below the national median price.
The self-proclaimed “horse capital of the world,” Lexington is surrounded by more than 400 horse farms and somewhere between 10,000 and
30,000 horses. Lexington and surrounding Fayette county also comprise the second-largest community of people in the commonwealth,
with a population of almost 315,000, but as home to the University
of Kentucky’s 30,000 students, it also has the feel of a college town.
Lexington’s median home value of $175,000 makes it one of the most
expensive places to buy real estate in Kentucky.
3 Cities to Watch
Kentucky Foreclosure Filings
Source: Attom Data Solutions
Defaults Auctions REO