Foreclosure Filings โฃSurge 17% Nationally as Mortgage โขDistress Mounts
Washington,D.C.- October 10, 2025,โฃ 09:58:13 EDT – A new report indicates a significant increase in U.S. foreclosure activity, with filings jumping 17% year-over-year in September 2025. This marksโ the highest monthly total as June 2023, signaling โgrowing challenges for homeownersโข grappling with economic pressures โand โฃrising mortgage rates.
The surge in โforeclosures comes โขas many americans continue to navigate financial hardship following the expiration of pandemic-era protections and as mortgage borrowingโฃ distress intensifies.โ The increase impacts homeownersโข across the โขcountry,especially those with adjustable-rate mortgages or โฃwho โขpurchased homes at the peak of the market. โExperts โpredict โthis trend could accelerate in the coming months, possibly adding downward pressure to โคtheโค housing โฃmarket and impacting communities โขalready โfacing economic vulnerability.โ
According to ATTOM Data Solutions, โthere were 31,082 U.S. properties with foreclosure filings in September 2025. This figure includes default notices, scheduled auctions, and bank repossessions. โ States experiencing the largest increases in foreclosure startsโ include California, Texas, and Florida.
“While foreclosure activity remains below pre-pandemic levels, the โฃconsistentโ month-over-monthโฃ increases are a clear indication that more homeownersโ are falling โฃbehind on their mortgage payments,” saidโฃ Rob Barber, CEO of ATTOM. “The combination of higher interest rates, persistent inflation, โขand a slowing โคeconomy isโ creating a โคperfect storm โขfor mortgage distress.”
The report alsoโ reveals that completedโ foreclosures-properties banks have taken โback-increased 8% from the โprevious year,while scheduled auctions rose 28%. Pre-foreclosure filings, an early indicatorโ of potential distress, were up โ13%โข year-over-year.
