Foreclosures Rise 21% in H1 2026, Florida Leads Nation

U.S. properties with foreclosure filings increased by 21% in the first half of 2026, reaching over 227,000, according to ATTOM data. This marks a significant rise from the same period last year, bringing foreclosure activity closer to pre-pandemic levels not seen since 2019. While still historically low compared to the 2008 financial crisis, the steady increase since 2021, when pandemic relief programs shielded homeowners, indicates a gradual return to more typical market patterns. ATTOM CEO Rob Barber noted that the broader picture shows a market normalizing, but the increases also suggest growing financial strain for some homeowners.

Beyond an increase in starts, the foreclosure process itself is accelerating. In the first six months of 2026, the average foreclosed property had been in the process for 563 days, a 13% decrease from the previous year and the shortest timeline recorded since 2013. This shorter duration, combined with rising foreclosure starts and completions, points to a continued normalization of the foreclosure process. Barber highlighted that this trend, while indicative of a returning market, also suggests that homeowners may be under greater financial pressure than they were a year prior.

Florida emerged as the state with the highest foreclosure rate in the U.S. during the first half of 2026, with 0.27% of its housing units facing repossession. South Carolina followed closely with a 0.26% rate. Indiana and Delaware each recorded a 0.25% foreclosure rate, and Illinois rounded out the top five states with 0.23%. Among states with at least 500 foreclosure filings in the first half of the year, Idaho experienced the steepest increase in foreclosure activity, though specific figures were not fully detailed in the provided text.