According to a recent report by real estate data firm ATTOM, nearly 34,000 properties were subject to foreclosure in August. This includes default notices, scheduled auctions and bank repossessions in more than 3,000 counties across the country. That number is up 7 percent from July, but down 2 percent from a year ago.

In other words, about one in every 4,113 homes had a foreclosure filed last month.

"What is certain is that foreclosure activity increased across the U.S. from July to August of this year," ATTOM CEO Rob Barber said in a statement."

This could be due to a surge in the number of homeowners who are delinquent on their mortgages. It could also just be a matter of timing, as banks and other lenders dealt with an accumulation of cases in August. This can easily happen on a month-to-month basis. Either way, it's a trend to watch in the coming months.

Foreclosures are especially high in Nevada. The state became a hot spot during the Great Recession and became one of the hallmarks of the foreclosure crisis. It took years for the housing market to recover after these vacant homes flooded the state.

However, real estate experts do not expect another wave of foreclosures in Nevada or anywhere else in the United States. In the wake of the housing bubble, lenders tightened the qualifications required for borrowers to obtain loans. Today's homebuyers are financially strong and less likely to default on their loans.

Even if they lose their jobs and can't afford to pay their loans, many are able to sell their homes before foreclosure. Most were even able to walk away with some cash.

Unlike the last crash, there are now more buyers than there are homes for sale. This has kept home prices firm, and they are expected to remain firm even as foreclosures continue to flood the market.

"The improving pattern of annual [foreclosure filing] changes strongly suggests that a wave of foreclosures is not on the horizon, and with an estimated 2 million homeowners delinquent on their loans in the early stages of the pandemic, the market escaped the dire predictions of a major spike in foreclosures," Barber said.

This makes sense given positive economic factors such as low unemployment, declining consumer price inflation, increased homeowner equity, and an improving stock market, Barber said. All of these factors provide families with more resources and greater incentive to do what they can to avoid losing their homes to foreclosure.

Where are the highest foreclosure rates?

Nevada was one of the states hardest hit by the real estate crash of the late 2000s and has the highest foreclosure rate in the nation. In August, one in every 2,224 homes in the state filed for foreclosure.

It was followed closely by Illinois, with 1 in 2,433 homes; South Carolina, with 1 in 2,506; New Jersey, with 1 in 2,585; and Delaware, with 1 in 2,618. The foreclosure rate in each of the top five states was 4 percent, according to ATTOM.

Among metropolitan areas with at least 200,000 residents in August, Columbia, S.C., had the highest foreclosure rate at 6.8 percent. It was followed closely by Fayetteville, NC (5.9%), Peoria, IL (5.7%), Las Vegas (5.6%), and Jacksonville, NC (5.4%).

Where were the most homes repossessed?

Nationwide, about 3,350 homes were repossessed by lenders in August. That's up 1 percent from July, but down about 15 percent from a year ago.

The year-over-year decline is likely due to the end of the federal moratorium on foreclosures. The moratorium was put in place at the beginning of the COVID-19 pandemic, when millions of Americans suddenly lost their jobs. The moratorium ended in 2021, but many states extended it. That led to more homeowners receiving foreclosure notices last year as the moratorium expired.

The year-over-year change in total foreclosure filings has improved almost every month since December 2022," Barber said. This is a positive sign for the housing market."

Illinois had the highest number of foreclosures completed in August of this year, with 324. It was followed closely by Pennsylvania (253), Ohio (250), New York (205) and Texas (191).

Chicago was the largest metropolitan city with the most repossessions at 192. New York City was second at 166. Philadelphia followed with 90, St. Louis with 76 and Detroit with 70.