U
.S. foreclosure filings rose again in August 2025, the sixth straight month of yearly gains, as higher borrowing costs and tighter household budgets begin to bite homeowners.

    According to ATTOM, 35,697 properties were filed for foreclosure last month—1 % fewer than July but 18 % above the same period a year earlier—illustrating a slow, steady return of distress to the market. “Volumes remain below pre‑pandemic levels, yet the uptick in both starts and completions signals growing financial strain in this high‑rate environment,” said ATTOM CEO Rob Barber.

    **Regional hotspots**

    Nationwide, one in every 3,987 homes had a filing; Nevada led with one in 2,069. Lakeland, FL topped metro areas at one in 1,212, followed by Columbia, SC and Chico, CA. Among the largest metros, Cleveland, Las Vegas, Jacksonville, Houston and Orlando posted the highest rates.

    **Starts**

    Lenders initiated foreclosure on 24,254 properties in August—virtually unchanged from July but nearly 17 % above last year. Texas led with almost 3,000 starts, followed by Florida, California, New York and Illinois. New York City had the most initiations among large metros, trailed by Houston, Chicago, Los Angeles and Miami.

    **Completions**

    Repossessions rose sharply: 4,077 homes were taken back in August, a 5 % increase from July and 41 % higher year‑over‑year. Texas, California, New York, Florida and Illinois had the highest totals, with Chicago, New York, Houston, San Antonio and Dallas among the top cities.

    **Outlook**

    Foreclosure levels stay below historic norms, but the upward trend is clear. If mortgage rates and home prices stay high, analysts warn of more distressed sales ahead. “The trajectory is unmistakable,” Barber noted. “Foreclosure activity is gradually reemerging as a pressure point in the housing sector.”