Foreclosure headlines are popping up again, and they’re meant to grab your attention by playing on fear. But when you dig into the actual data, the market tells a much different story than what those headlines suggest. So before you make any assumptions, it’s worth taking a step back and seeing the whole picture.

Foreclosure starts have increased by 7% in the first half of the year. However, when you look at the bigger picture, it’s clear that we’re not facing a crisis. Here’s what you need to know.

Filings Are Still Far Below Crash Levels

Even though foreclosure filings have gone up recently, they’re still really low overall. In the first half of 2025, only about 0.13% of homes faced foreclosure. To put that in perspective, that’s less than one percent—actually, it’s under a quarter of a percent of all the homes in the country. So, foreclosures remain a very small part of the market. Of course, like with most real estate trends, these numbers can look different depending on the local market.

Take a look at this map—it shows that foreclosure rates are actually lower than many people expect, and it breaks down how those rates vary across different neighborhoods.

Looking at data from ATTOM, in the first half of 2025, about 1 in every 758 homes across the country had a foreclosure filing—that’s roughly 0.13%, which you can see on the map above. To put that in perspective, back in 2010 during the housing crash, Mortgage News Daily reported it was much higher—around 1 in every 45 homes.

Today’s Numbers Don’t Indicate a Market in Trouble

Here’s the part that sticks with everyone...

Before the crash, risky lending meant a lot of homeowners ended up with mortgage payments they just couldn’t keep up with. Because of that, many found themselves owing more on their homes than they were actually worth. When they couldn’t make the payments, walking away became the only option. This caused a big rise in foreclosures and eventually led to the market crashing.

The housing market today looks a lot different. Lenders are being more careful about who they lend to. Homeowners are sitting on almost record-high equity in their homes. So, if someone runs into financial trouble, that equity gives them a way out—they can often sell their home instead of going through foreclosure. As Rick Sharga, Founder of CJ Patrick Company, points out:

““. . . a significant factor contributing to today’s comparatively low levels of foreclosure activity is that homeowners—including those in foreclosure—possess an unprecedented amount of home equity.”
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— Rick Sharga, Founder of CJ Patrick Company

Nobody wants to see a homeowner go through tough times. If you’re having trouble, reach out to your mortgage provider. You might be surprised by the options available to help you out.

Bottom Line

Recent headlines might sound alarming, but the actual data tells a different story. Foreclosure rates are still low compared to historical levels, so there’s no indication we’re headed for another crash.

If you’re keeping an eye on the market and curious about what’s actually happening or how it affects your home’s value, let’s talk. I’ll help you cut through the noise and show you what the data really means.