Falling oil prices are causing foreclosures in these 3 states

Foreclosures in oil producing areas

The oil industry is plummeting and its causing major problems in some housing markets.

Foreclosure filings on a national level dropped to a nine-year low in 2015, but some oil-producing states are being hit hard by the misfortunes of energy companies, according to RealtyTrac.

Foreclosure numbers trended higher in Texas, Oklahoma and North Dakota last year as oil prices continued their free fall.

Those three states were barely touched by the 2008 housing bust, which means there isn’t a large number of foreclosures left over from the crisis.

Lower oil prices have led to massive layoffs across the country, which is causing local strain in areas where energy jobs are being cut.

North Dakota saw a 387% increase in foreclosures in 2015 with 146 properties receiving at least one foreclosure filing.

Foreclosure activity jumped nearly 36% in Oklahoma last year, with 11,388 properties receiving at least one foreclosure filing.

Foreclosure activity in Texas rose 15.7% in 2015. Towns where energy jobs are more prevalent saw the highest increase in foreclosure rates.

An increase in foreclosures is expected if oil prices remain low and continue to spiral downward in 2016.

Written by Jeff Springer

Jeff Springer

Jeff Spring is the Finance & Markets Editor at BusinessPundit.com. He's currently spending his days backpacking across Europe. While he may be living outside of the United States, he stays connected to American financial markets and M&A's more than is probably healthy for any single person. His love of a good book and a Bloomberg terminal can't be understated. He can be reached at JeffSpringer@BusinessPundit.com