A comprehensive report from ATTOM, a leading real estate data provider, reveals a significant uptick in foreclosure activity nationwide during the initial six months of 2025. The total number of U.S. properties experiencing foreclosure filings, encompassing default notices, scheduled auctions, and bank repossessions, reached 187,659. This figure marks a 5.8% increase over the same period last year and a 1.1% rise from two years prior, indicating a growing strain on some homeowners despite broader economic conditions.
The first half of 2025 witnessed 140,006 properties initiating the foreclosure process, reflecting a 7% jump from the prior year and a substantial 41% surge compared to early 2020. This trend suggests that while the housing market has shown resilience in many areas, certain segments of the population continue to grapple with economic pressures. States with the most significant volume of foreclosure starts included Texas, with 17,680 properties, Florida, reporting 15,198, and California, with 14,751. Regionally, Alaska, Rhode Island, and Wyoming experienced the most dramatic year-over-year increases in foreclosure activity, with rises of 55%, 51%, and 46%, respectively.
Nationally, roughly 0.13% of all housing units, or one in every 758, had a foreclosure filing during the first six months of the year. When examining specific states, Illinois and Delaware both registered the highest foreclosure rates at 0.23% of housing units, closely followed by Nevada at 0.21%. Among major metropolitan areas, Lakeland, Florida, led with a 0.29% foreclosure rate, followed by Columbia, South Carolina (0.28%), and Chicago, Illinois (0.26%). This localized data highlights distinct pockets of vulnerability within the national housing landscape.
Lenders also saw an increase in properties repossessed through foreclosure (REO), with 21,007 such instances in the first half of 2025. This represents a 12% increase from the first half of 2024, although it is still 7% lower than the figures from the first half of 2023. Texas recorded the highest number of REOs, with 2,207 properties, while California followed with 1,799, and Pennsylvania with 1,461. These figures underscore the ongoing cycle of defaults and repossessions impacting the real estate sector.
Breaking down the data further, the second quarter of 2025 alone accounted for 100,687 U.S. properties with foreclosure filings, marking a 7% increase from the previous quarter and a 13% rise year-over-year. During this period, one in every 1,413 housing units faced a foreclosure filing. South Carolina, Illinois, and Florida reported the most severe foreclosure rates in Q2 2025. In June 2025, 21,782 properties initiated the foreclosure process, a 10% decrease from May but a 17% increase annually. Concurrently, lenders finalized the foreclosure process on 3,892 U.S. properties in June 2025, a 1% increase from the prior month and a 35% rise compared to June 2024. These statistics collectively paint a picture of an evolving real estate market where certain economic pressures continue to manifest in elevated foreclosure rates across various regions.