Quick answer: Foreclosure activity rose across the U.S. in the first half of 2026. More than 200,000 properties received foreclosure filings — a 21% jump from the first half of 2025 and a 28% increase from 2024 — according to ATTOM Data’s Mid-Year 2026 U.S. Foreclosure Market Report. Florida, South Carolina, and Indiana had the highest statewide foreclosure rates, while Punta Gorda, Florida topped the list among major metro areas.
Why Foreclosures Are Rising in 2026
Foreclosure activity has been climbing steadily as the housing market cools. During the first half of 2026, roughly one in every 632 U.S. properties had a foreclosure filing. ATTOM CEO Rob Barber described the trend as a “normalization” of the foreclosure process after several years of historically low levels, though he also pointed to rising financial strain among homeowners as a contributing factor.
The increase in foreclosures lines up with other signs of a softer housing market this summer, including a recent slowdown in pending home sales nationwide.
Key Foreclosure Statistics for H1 2026
- 200,000+ U.S. properties had a foreclosure filing in the first half of 2026
- 1 in 632 properties nationwide had a filing during this period
- 21% increase in foreclosure filings compared to the first half of 2025
- 28% increase compared to the first half of 2024
- 164,566 properties started the foreclosure process — up 18% year-over-year and 66% higher than 2020 levels
- 27,983 properties had a completed foreclosure (bank repossession) — up 33% annually, though still 26% below 2020 levels
- 563 days — the average time to complete a foreclosure, the fastest pace since 2013
June 2026 Foreclosure Snapshot
Looking specifically at June 2026:
- 1 in every 3,656 U.S. properties had a foreclosure filing
- 26,217 properties started the foreclosure process — down 4% from May but up 20% year-over-year
- 4,773 properties completed foreclosure — up 17% month-over-month and 23% year-over-year
States With the Highest Foreclosure Rates
Florida, South Carolina, and Indiana led the nation in foreclosure rates during the first half of 2026:
- Florida — 0.27% of housing units had a foreclosure filing
- South Carolina — 0.26% of housing units
- Indiana — 0.25% of housing units
- Delaware — 0.25% of housing units
- Ohio — 0.20% of housing units
- Utah — 0.19% of housing units
Notably, there wasn’t a strong regional pattern among the top 10 states — high foreclosure rates showed up across the Midwest, Mid-Atlantic, and West alike.
States With the Lowest Foreclosure Rates
The states with the fewest foreclosures per housing unit tended to be smaller or more rural:
- Vermont — 0.03%
- South Dakota — 0.04%
- West Virginia — 0.04%
- Kansas — 0.05%
- Rhode Island — 0.05%
Metro Areas With the Most Foreclosures
Among metro areas with populations of 200,000 or more, three stood out with the highest foreclosure rates in the first half of 2026:
- Punta Gorda, Florida — 0.5% of housing units
- Columbia, South Carolina — 0.43% of housing units
- Macon, Georgia — 0.36% of housing units
These metro-level trends largely mirror the statewide patterns above.
How Fast Are Foreclosures Moving?
The average foreclosure timeline dropped to 563 days in the first half of 2026 — the quickest pace recorded since 2013. That said, timelines still vary enormously by state.
Fastest foreclosure timelines (Q2 2026):
- Texas — 155 days
- New Hampshire — 157 days
- Wyoming — 173 days
Slowest foreclosure timelines (Q2 2026):
- Louisiana — 3,491 days
- Hawaii — 2,293 days
- New York — 2,007 days
What This Means for Homeowners and Buyers
The rise in foreclosures doesn’t necessarily signal a crisis — ATTOM’s own data frames it largely as a return to more typical, pre-pandemic foreclosure activity after years of artificially low numbers. Still, the year-over-year increases in both foreclosure starts and completions suggest that a growing number of homeowners are under real financial pressure in 2026.
For real estate professionals, rising foreclosure inventory in states like Florida, South Carolina, and Indiana could mean more distressed-property listings and potential opportunities for buyers looking for below-market deals. For homeowners at risk, understanding local timelines — and reaching out to a lender or housing counselor early — remains the best way to explore options before a filing moves toward completion.
Frequently Asked Questions
Are foreclosures increasing in 2026? Yes. Foreclosure filings rose 21% year-over-year in the first half of 2026, according to ATTOM Data, with over 200,000 properties affected nationwide.
Which state has the most foreclosures in 2026? Florida had the highest statewide foreclosure rate in the first half of 2026, with 0.27% of housing units receiving a filing, followed by South Carolina and Indiana.
How long does a foreclosure take in 2026? The national average is 563 days, the fastest since 2013. Texas has the quickest average timeline at 155 days, while Louisiana has the slowest at 3,491 days.
Is the rise in foreclosures a sign of a housing crash? Not according to ATTOM. The report frames the increase as a “normalization” back to typical foreclosure levels after several unusually low years, while acknowledging some homeowners are facing more financial strain.
Summary
Although there are various economic headwinds in the current economy, the rise in foreclosures thus far in 2026 is not surprising. Given the historically low levels over the past several years, we are seeing a normalization in the market.
Are you thinking of buying or selling real estate in the South Florida area? We can help! Contact Natasha at Live South Florida Realty, Inc. today for a free consultation.
