MAPPED: The U.S. Foreclosure Hotspots Revealed - Which States Are Seeing the Highest Activity Right Now

Foreclosure filings are flashing red across the U.S. map. While the broader economy hums along, localized distress signals are impossible to ignore—and they're painting a stark picture of regional financial fragility.

The Geography of Distress

Forget a uniform national trend. The data reveals a patchwork of pressure, with specific states bearing the brunt of the surge. Activity isn't just ticking up; it's accelerating in concentrated clusters, turning these regions into the nation's foreclosure epicenters.

Numbers Don't Lie, But Banks Do

The figures tell a clear story of households hitting a wall. It's a classic squeeze: stagnant wages meet stubborn inflation, and mortgage payments become the casualty. Meanwhile, traditional finance offers little more than a sympathetic shrug and a restructuring fee—a system better at managing defaults than preventing them.

A Provocative Signal for Change

This isn't merely a housing story; it's a loud argument for financial sovereignty. When centralized systems fail to cushion the fall, the appeal of decentralized alternatives grows. Every foreclosure notice is, in a cynical sense, a marketing flyer for an economy that doesn't rely on a permission slip from a bank. The map is clear. The question is whether we'll keep reading the same old legend.

Key Takeaways

• Delaware, Nevada, New Jersey, and Florida top the list of states with the most foreclosure activity. (This includes default notices, scheduled auctions, and bank repossessions, according to a report from real estate data firm ATTOM.) 
• Foreclosure activity in November rose by over 20% year-over-year. 

In many states across the U.S., homeowners are struggling to keep up with their housing costs.

As of November, foreclosure activity had risen by 21% when compared with the same month last year. It was 3% lower than October’s levels. That said, "overall volumes remain well below historical highs," according to a report by real estate data firm ATTOM.

Why This Matters to Homebuyers

Rising foreclosure rates can impact the housing market in several ways, which can potentially increase the number of houses for sale and affect prices. Foreclosure rates can also provide insight into the broader health of the housing market, which can help potential buyers plan for the costs and risks associated with the homebuying process.

Some states have been more impacted than others.

In Delaware, foreclosure activity—defined as default notices, scheduled auctions, and bank repossessions—rose nearly 159% in November year-over-year. In Nevada, foreclosure activity was up by almost 26%, while New Jersey saw an over 48% rise and Florida was higher by about 21%. 

“November marks the ninth straight month of year-over-year increases in foreclosure activity, underscoring a trend that has steadily taken shape throughout 2025,” ATTOM CEO Rob Barber said in a statement. “The data suggests the market is still normalizing as some homeowners contend with higher housing costs and shifting economic pressures.”

Homeowners Pressured by Affordability Challenges

Philadelphia had the most foreclosure activity of any city in the U.S., with one in every 1,511 housing units in foreclosure. The report noted that this number is a temporary spike because county record keepers have added some backlogged data. Philadelphia was followed by Las Vegas, Cleveland, Orlando, and Tampa. 

Related Education

“This geographic spread, from the Mid-Atlantic to the Southeast and West, suggests that foreclosure activity is being shaped by nationwide affordability hurdles, persistent borrowing costs, and localized market pressures rather than a single regional driver,” wrote ATTOM Marketing Manager Megan Hunt in a blog post.

Fast Fact

In some cities, the amount of foreclosure activity has dropped—for example, in Boston, Miami, Sacramento, Riverside, and Denver. 

The data comes as housing costs have remained elevated, creating frozen market conditions that have helped keep housing sales NEAR historically low levels. Mortgage rates continue to remain elevated at 6.18% in the latest Freddie Mac data, falling little despite three Federal Reserve interest rate cuts this year. Meanwhile, the median price of existing-home sales in November remained elevated at $433,175, according to the latest data from Redfin.