Foreclosures in the United States surged significantly in August, with the number of properties repossessed by lenders increasing 42% from the same month last year, according to recent data from real estate analytics firm ATTOM. A total of 5,794 homes underwent completed foreclosures in August, marking a 22% rise from July and reflecting ongoing financial pressures for many American homeowners.
The report indicated that 40,277 properties experienced some form of foreclosure filing during August, which includes default notices, scheduled auctions, and completed repossessions. This figure represents a marginal 1% increase from July and a 13% increase compared with August 2025, continuing a trend of foreclosure activity remaining above previous year levels.
Among states, Florida recorded the highest number of foreclosure starts at 3,189, followed closely by Texas with 3,126 and California with 2,565. Illinois and Georgia completed the top five states with the most foreclosure filings. Texas emerged as the hardest-hit state regarding completed foreclosures, with 1,835 properties repossessed during August—more than three times the number in California, which reported 589. Other states with significant completed foreclosure figures included North Carolina (356), Arizona (296), and Alabama (286).
Texas also had several cities leading national foreclosure counts. Houston topped the list with 448 repossessions, followed by Dallas with 402 and San Antonio with 256. South Carolina had the highest foreclosure rate nationally, with one in every 1,547 housing units receiving a filing. Nevada and Florida followed, with foreclosure rates of one in every 1,920 and one in every 2,397 homes respectively. Texas ranked fourth in foreclosure rate, at one in every 2,445 units. Nationwide, one in every 3,569 housing units faced foreclosure filings in August.
New York reported relatively lower foreclosure activity, ranking 29th among states with 1,604 properties receiving filings, equating to one in every 5,352 housing units. Within the state, Cortland, Greene, Orange, and Tioga counties recorded the highest foreclosure rates.
Rob Barber, CEO of ATTOM, explained that while the increase partly reflects a return to more typical foreclosure volumes after several years of unusually low activity, rising living costs are placing additional strain on homeowners' finances. He noted, “Homeowners are navigating a range of financial pressures . . . which could be adding strain to some household budgets.” Despite the recent uptick, Barber emphasized that current foreclosure activity remains below pre-pandemic levels.