ATTOM’s Q3 2025 U.S. Foreclosure Market Report showed a total of 101,513 properties with a foreclosure filing during the third quarter, up less than 1 percent from the second quarter but 17 percent higher from a year ago.
The report also showed 35,602 properties with foreclosure filings in September, down 0.3 percent from August and up 20 percent from a year ago.
“In 2025, we’ve seen a consistent pattern of foreclosure activity trending higher, with both starts and completions posting year-over-year increases for consecutive quarters,” ATTOM CEO Rob Barber said in a release. “While these figures remain within a historically reasonable range, the persistence of this trend could be an early indicator of emerging borrower strain in some areas.”
A total of 72,317 properties started the foreclosure process in the third quarter, up 2 percent from the second quarter and up 16 percent from last year, according to ATTOM’s report.
States that had the greatest number of foreclosure starts in the third quarter were Texas (9,736 foreclosure starts); Florida (8,909); California (7,862); Illinois (3,515); and New York (3,234).
Those major metros with a population of 200,000 or more that had the greatest number of foreclosures starts in the third quarter were Houston (3,763 foreclosure starts); New York City (3,452); Chicago (3,144); Miami (2,502); and Los Angeles (2,321).
Nationwide, one in every 1,402 housing units had a foreclosure filing in the third quarter. States with the worst foreclosure rates were Florida (one in every 814 housing units with a foreclosure filing); Nevada (one in 831); South Carolina (one in 867); Illinois (one in 944); and Delaware (one in 974).
Among 225 metropolitan statistical areas with a population of at least 200,000, those with the worst foreclosure rates were Lakeland, Fla. (one in every 470 housing units); Columbia, S.C. (one in 506); Cape Coral, Fla. (one in 589); Cleveland (one in 593); and Ocala, Fla. (one in 665).
Other major metros with a population of at least 1 million, including Cleveland at No. 4, and foreclosure rates in the top 20 worst nationwide, included Jacksonville, Fla., at No.6; Las Vegas at No. 9; Houston at No. 14; and Orlando, Fla., at No. 17.
Lenders repossessed 11,723 properties through foreclosure (REO) in the third quarter, up 4 percent from the second quarter and up 33 percent from a year ago.
Those states that had the greatest number of REOs in the third quarter were Texas (1,288 REOs); California (1,132); Florida (762); Pennsylvania (708); and New York (644).
Properties that foreclosed in the third quarter had been in the foreclosure process for an average of 608 days. This represents a 6 percent decrease from the second quarter and a 25 percent decrease from the same time last year, continuing a downward trajectory observed since mid-2020, according to ATTOM.
States with the longest average foreclosure timelines for homes foreclosed in the third quarter were Louisiana (3,632 days); Nevada (2,667); Rhode Island (1,929); New York (1,867); and Hawaii (1,710).
States with the shortest average foreclosure timelines were West Virginia (135 days); Texas (154); Virginia (160); Wyoming (165); and Montana (174).