A total of 35,498 U.S. properties saw foreclosure filings — default notices, scheduled auctions or bank repossessions — in May, down 1% compared with April but up 9% from a year ago, according to ATTOM.
Lenders started the foreclosure process on 24,165 properties in May, down 4% from the previous month but up 8% from a year ago. States that had the greatest number of foreclosure starts in May included Texas (3,077), Florida (2,780), California (2,641), Illinois (1,242), and New York (1,222).
Lenders repossessed 3,844 U.S. properties through completed foreclosures (REOs) in May, up 7% from April and up 34% from May 2024. States that had the greatest number of REOs included Texas (460), California (300), Pennsylvania (257), Michigan (236) and Florida (234).
“Foreclosure activity in May reflected a mixed picture with fewer starts but a continued rise in completed foreclosures,” says Rob Barber, CEO at ATTOM, in the report. “This suggests that while fewer new defaults are being initiated, lenders may still be working through a backlog of existing cases. We’ll be watching closely in the months ahead to see how these trends evolve.”
Nationwide one in every 4,009 housing units had a foreclosure filing in May. States with the worst foreclosure rates were Delaware (one in every 2,313 housing units with a foreclosure filing); Florida (one in every 2,536 housing units); Illinois (one in every 2,668 housing units); Nevada (one in every 2,747 housing units); and Indiana (one in every 2,983 housing units).
Photo: Matthew Moloney