Affordability Challenges Cause Surge in Foreclosure Filings

Affordability remains an ongoing challenge for many homeowners, with an increased amount headed into foreclosure. In April, there were a total of 36,033 U.S. properties with foreclosure filings, according to property data provider ATTOM’s April 2025 U.S. Foreclosure Market Report. This is an increase of 0.4% from the month prior and a 13.9% increase from the year prior.

This means that one in every 3,950 homes in the U.S. had a foreclosure filing in April, but some states fared worse than others. South Carolina had the most foreclosure filings. There, one in every 2,311 housing units had a foreclosure filing in April. This was followed by Illinois and Florida, where a respective one in every 2,405 housing units and one in every 2,526 housing units had a foreclosure filing.

Counter to the National trend states that had at least 50 or more REOs and that saw the greatest annual decline in April 2025 included: South Carolina (down 45.9 percent); Maryland (down 42.5 percent); Ohio (down 22.4 percent); New York (down 17.3 percent); and New Jersey (down 11.5 percent).

Among the 225 metropolitan statistical areas with a population of at least 200,000, that saw the greatest number of REOs included: Chicago, IL (220 REOs); Atlanta, GA (213 REOs); New York, NY (143 REOs); Houston, TX (114 REOs); and Philadelphia, PA (86 REOs).