San Diego Short Sale Specialist

06/11/2026

MORTGAGE DELINQUENCIES AND FORECLOSURES ARE RISING, A WORRISOME SIGN
https://www.sandiegocashortsale.com/mortgage-delinquencies-and-foreclosures-are-rising-a-worrisome-sign/

06/07/2026

FORECLOSURE AND EMPLOYMENT TRENDS SIGNAL HOUSING RISK
https://www.sandiegocashortsale.com/foreclosure-and-employment-trends-signal-housing-risk/

04/29/2026

FORECLOSURES CLIMB IN EARLY 2026

Filings jumped again in Q1 2026, but still trailed pre crisis peaks

US foreclosure activity inched higher again in early 2026, adding to nearly a year of steady increases and raising new questions for lenders about how resilient stretched borrowers will be if the economy slows.
ATTOM reported 118,727 properties with a foreclosure filing in the first quarter of 2026, up 6% from Q4 and 26% from a year earlier, with March alone posting nearly 46,000 filings.
Nationwide, one in every 1,211 housing units had a foreclosure filing in the quarter, led by Indiana, South Carolina and Florida.
Foreclosure starts reached 82,631 in Q1, 20% higher than a year ago, with Texas, Florida and California topping the list.
Repossessions also moved higher: lenders took back 14,020 properties, a 45% annual jump, even as the average time to foreclose fell 14% year over year to 577 days.
States such as Louisiana and Hawaii still saw multi year timelines, while Texas and West Virginia remained among the fastest.
“Foreclosure activity increased in the first quarter, with both starts and completed foreclosures posting solid year over year gains,” said Rob Barber, CEO at ATTOM.
“While volumes remain below historical peaks, the continued rise, especially in starts and bank repossessions, suggests financial pressure may be building for some homeowners and could signal shifting housing market dynamics.”
Filings climb, but not a 2008 rerun
In earlier commentary, Barber stressed that recent increases followed “several years of historically low levels” as pandemic era relief and rapid home price gains kept distress in check.
ATTOM data showed foreclosures in 2025 and early 2026 remain well below pre Great Financial Crisis peaks, even as the trend moved higher.
“In 2025, we’ve seen a consistent pattern of foreclosure activity trending higher, with both starts and completions posting year over year increases for consecutive quarters,” Barber previously said, calling the trend “an early indicator of emerging borrower strain in some areas.”
Affordability and arrears pressure build
Rising distress also intersected with an affordability squeeze.
“Home prices kept climbing in 2025 even as affordability challenges intensified for households across the country,” Barber said in separate comments on last year’s price gains.
Mortgage performance started to soften from rock bottom levels. The Mortgage Bankers Association reported that the overall mortgage delinquency rate rose to 4.26% in Q4 2025, up both quarter over quarter and year over year, though still near long run averages.
A slow burn test for servicing and risk models
For now, Q1 foreclosure figures point to a market that continue to normalize from emergency era lows rather than tip into crisis. But after 11 straight months of year over year increases in filings heading into 2026, the latest ATTOM report suggests that underwriting standards, loss mitigation playbooks and servicing capacity built in the past decade would face a more meaningful stress test in the year ahead.
MORTGAGE PROFESSIONAL AMERICA

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03/17/2026

GRADUAL ANNUAL RISE IN FORECLOSURE ACTIVITY CONTINUES IN FEBRUARY 2026

Foreclosure Starts Increase 14 Percent Year Over Year; Completed Foreclosures (REOs) Up 35 Percent from a Year Ago

IRVINE, Calif., March 12, 2026 /PRNewswire/ -- ATTOM, the leading provider of property data, AI-powered analytics, and real estate intelligence solutions, today released its February 2026 U.S. Foreclosure Market Report, which shows there were a total of 38,840 U.S. properties with foreclosure filings— default notices, scheduled auctions or bank repossessions — down 4 percent from a month ago and up 20 percent from a year ago.
"Foreclosure activity in February marked the twelfth consecutive month of annual increases, extending a gradual upward trend that began early last year," said Rob Barber, CEO at ATTOM. "While filings dipped slightly from January, both foreclosure starts and completed foreclosures remain higher than a year ago. Even with the continued rise, overall foreclosure levels remain well below historic norms."
Indiana, South Carolina, and Florida lead the nation in worst foreclosure rates
Across the nation, one in every 3,701 housing units had a foreclosure filing in February 2026. States with the worst foreclosure rates were Indiana (one in every 1,597 housing units with a foreclosure filing); South Carolina (one in every 2,217 housing units); Florida (one in every 2,277 housing units); Delaware (one in every 2,443 housing units); and Illinois (one in every 2,590 housing units).
Among metro areas with populations of 200,000 or more, Lakeland, FL recorded the worst foreclosure rate in February 2026, with one filing for every 1,075 housing units. Following Lakeland were Punta Gorda, FL (one in every 1,211 housing units); Indianapolis, IN (one in every 1,249); Evansville, IN (one in every 1,316); and Columbia, SC (one in every 1,433).
Texas, Florida, and California recorded the most foreclosure starts nationwide
Lenders started the foreclosure process on 25,928 U.S. properties in February 2026, down 2 percent from last month but up 14 percent from a year ago.
States that had the greatest number of foreclosure starts in January 2026 included: Texas (3,390 foreclosure starts); Florida (3,250 foreclosure starts); California (2,440 foreclosure starts); Georgia (1,331 foreclosure starts); and Indiana (1,197 foreclosure starts).
Contrary to the national numbers, those major metropolitan areas with a population greater than 1 million that had the largest year-over-year decreases in the number of foreclosure starts in February 2026 included: Tucson, AZ (decrease from 115 foreclosure starts in February 2025 to 24 in February 2026); New Orleans, LA (decrease from 146 to 55 foreclosure starts); Buffalo, NY (decrease from 88 to 57 foreclosure starts); Philadelphia, PA (decrease from 743 to 482 foreclosure starts); and Minneapolis, MN (decrease from 218 to 143 foreclosure starts).
Annual increase in completed foreclosures continues
In February 2026, Lenders repossessed 4,077 U.S. properties through completed foreclosures (REOs), a decrease of 14 percent from last month and an increase of 35 percent from last year.
States that had the greatest number of REOs in February 2026, included: Texas (453 REOs); Michigan (432 REOs); Florida (364 REOs); California (335 REOs); and Pennsylvania (234 REOs).
Contrary to the national trend, those major metropolitan statistical areas (MSAs) with a population greater than 1 million and at least 20 REO's that saw the greatest annual decline in the number of REOs in February 2026 included: St. Louis (decrease from 91 REO's in February 2025 to 53 in February 2026); Baltimore, MD (decrease from 74 to 59 REO's); Chicago, IL (decrease from 154 to 132 REO's); Riverside, CA (decrease from 58 to 53 REO's); and New Orleans, LA (decrease from 39 to 36 REO's).
Key highlights from the February 2026 foreclosure data
ATTOM's February 2026 U.S. Foreclosure Market Report shows 38,840 U.S. properties with a foreclosure filing, down 4 percent from January but up 20 percent from a year ago, marking the twelfth consecutive month of annual increases. Foreclosure starts rose 14 percent year over year to 25,928, while completed foreclosures increased 35 percent annually to 4,077, reflecting a continued gradual normalization of foreclosure activity in early 2026.
PR Newswire

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02/11/2026

Foreclosure Activity Rises Annually for the Eleventh Straight Month, Extending the Trend into 2026

Foreclosure Starts Rise 26 Percent Year Over Year; Completed Foreclosures Increase 59 Percent from a Year Ago

ATTOM, the leading provider of property data, AI-powered analytics, and real estate intelligence solutions, today released its January 2026 U.S. Foreclosure Market Report, which shows there were a total of 40,534 U.S. properties with foreclosure filings— default notices, scheduled auctions or bank repossessions — down 10 percent from a month ago and up 32 percent from a year ago.
“Foreclosure activity in January rose year over year for the eleventh straight month, continuing a trend that has now carried into early 2026,” said Rob Barber, CEO at ATTOM. “Foreclosure starts were up 26 percent from a year ago, while completed foreclosures increased nearly 59 percent. Although foreclosure activity has been rising steadily, overall levels remain well below historic peaks, suggesting that most homeowners are still on stable footing even as higher housing costs and broader economic pressures create stress in certain pockets of the market.”
Delaware, Nevada, and Florida led the nation in worst foreclosure rates
Across the nation, one in every 3,547 housing units had a foreclosure filing in January 2026. States with the worst foreclosure rates were Delaware (one in every 1,612 housing units with a foreclosure filing); Nevada (one in every 1,983 housing units); Florida (one in every 2,067 housing units); South Carolina (on in every 2,351 housing units); and Maryland (one in every 2,430 housing units).
Among metro areas with populations of 200,000 or more, Trenton, NJ recorded the worst foreclosure rate in January 2026, with one filing for every 1,087 housing units. Following Trenton were Punta Gorda, FL (one in every 1,187 housing units); Fayetteville, NC (one in every 1,257); Lakeland, FL (one in every 1,262); and Vallejo, CA (one in every 1,287).
Florida, Texas, and California topped the nation for foreclosure starts
Lenders started the foreclosure process on 26,369 U.S. properties in January 2026, down 7 percent from last month but up 26 percent from a year ago.
States that had the greatest number of foreclosure starts in January 2026 included: Florida (3,523 foreclosure starts); Texas (3,116 foreclosure starts); California (2,790 foreclosure starts); Georgia (1,351 foreclosure starts); and New York (1,304 foreclosure starts).
Those major metropolitan areas with a population greater than 200,000 that had the greatest number of foreclosure starts in January 2026 included: New York, NY (1,295 foreclosure starts); Chicago, IL (1,053 foreclosure starts); Houston, TX (1,040 foreclosure starts); Miami, FL (851 foreclosure starts); and Los Angeles, CA (781 foreclosure starts).
Foreclosure Completions Post Year-Over-Year Increase
In January 2026, Lenders repossessed 4,714 U.S. properties through completed foreclosures (REOs), a decrease of 21 percent from last month and an increase of 59 percent from last year.
States that had the greatest number of REOs in January 2026, included: Texas (573 REOs); California (415 REOs); Florida (327 REOs); Pennsylvania (311 REOs); and Illinois (267 REOs).
Those major metropolitan statistical areas (MSAs) with a population greater than 200,000 that saw the greatest number of REOs in January 2026 included: Chicago, IL (248 REOs); Philadelphia, PA (165 REOs); Houston, TX (152 REOs); Dallas, TX (122 REOs); and New York, NY (114 REOs).
Key Highlights from the January 2026 Foreclosure Data
ATTOM’s January 2026 U.S. Foreclosure Market Report shows foreclosure activity rising year over year for the eleventh straight month, with 40,534 U.S. properties reporting a foreclosure filing. Foreclosure starts increased 26 percent from a year ago, while completed foreclosures jumped nearly 59 percent, continuing a gradual normalization trend as the market moves into 2026.
ATTOM

01/21/2026

What Is A Short Sale In Residential Real Estate?

01/14/2026

UNITED STATES HOUSING MARKET RISK INTENSIFIES

ATTOM finds affordability strains, rising foreclosures, and elevated unemployment pushing several U.S. housing markets, led by inland California counties, into heightened downturn risk in Q3

A new analysis from ATTOM, the Q3 2025 U.S. Housing Risk Report, identifies the county-level housing markets most vulnerable to downturns in the third quarter of 2025, highlighting persistent affordability pressures, elevated unemployment, and foreclosure activity across several regions of the country.
The report uses a combination of metrics — including the proportion of median income required to afford homeownership, the share of seriously underwater mortgages, foreclosure rates, and local unemployment — to assess housing market risk nationwide.
“A lot of attention has, deservedly, gone to affordability concerns stemming from the rising price of homes,” said Rob Barber, CEO of ATTOM. “But what really separated the riskiest markets in our third quarter assessment were their high rates of foreclosures and unemployment.”
Among the highest-risk housing markets, California counties dominate the list, with six of the top 10 slots. Butte County, California, ranks as the most at-risk market, where homeownership costs consume nearly half of median income, and foreclosure filings are comparatively high. Humboldt and Shasta Counties in California also rank among the top risk counties, along with El Dorado, Solano, and Madera Counties, reflecting broad stress across inland and non-coastal California regions.
“If a community is losing jobs, those homeowners will find it harder to pay their monthly mortgage bills,” Barber added. “That means more foreclosures, which can hurt the broader local housing market.”
In Florida, Charlotte County emerges as a significant outlier, with a notably high percentage of properties underwater, paired with elevated foreclosure activity. Louisiana’s Tangipahoa Parish also appears among the top 10, exhibiting some of the highest levels of underwater mortgages in the dataset.
New Jersey contributes two counties to the riskiest cohort: Atlantic County and Cumberland County. Both record relatively high unemployment rates compared with national averages and foreclosure levels above thresholds seen in lower-risk markets.
ATTOM’s risk index contrasts sharply with markets at the other end of the spectrum. Least-risky counties — including Berkeley County, West Virginia; Chittenden County, Vermont; and Erie County, New York — report unemployment at or below 4% and foreclosure levels far below national norms, underscoring the divergent conditions across U.S. housing markets.
The broader housing market context in Q3 2025 also shows signs of stress beyond these high-risk counties. U.S. foreclosure filings have risen in recent quarters, with ATTOM’s foreclosure market data indicating a year-over-year increase in properties entering default, foreclosure starts, and real estate-owned (REO) status. National foreclosure activity climbed approximately 17% in Q3, reflecting mounting borrower strain in some regions.
Mortgage origination trends further suggest cooling demand. Data from industry sources show total mortgage originations dipped in the third quarter of 2025, even as refinance and home equity line of credit (HELOC) activity rose modestly. The decline signals softer purchase demand amid persistent affordability challenges.
Regional patterns in housing risk are consistent with previous analyses showing heightened vulnerability across the southern and western U.S. Previous housing risk assessments from ATTOM and other analytics sources have similarly identified California and southern states as focal points of housing market stress, driven by high costs, foreclosure activity, and employment metrics that lag national averages.
NATIONAL MORTGAGE PROFESSIONAL

12/15/2025

MORE SAN DIEGO HOMEOWNERS FACE NEGATIVE EQUITY AS HOUSE PRICES FALL

An increasing number of homeowners in San Diego and nationwide are facing “negative equity” because of falling home prices coupled with low down payments, according to the latest Cotality Home Equity Report.

Irvine-based Cotality, the real estate data company formerly known as CoreLogic, said 0.6% of San Diego homeowners had negative equity in the third quarter, an increase of 0.14 percentage points over the past year.
Nationwide the average was higher at 2.2% of homeowners — a total of 1.24 million properties.
Negative equity — being “underwater” — is when you owe more on your mortgage than your home is currently worth.
“As the pace of home price growth slows and markets recalibrate from pandemic peaks, we’re seeing a clear shift in equity trends,” said Cotality Chief Economist Dr. Selma Hepp. “Negative equity is on the rise, driven in part by affordability challenges that have led many first-time and lower-income buyers to over-leverage through piggyback loans or minimal down payments.”
“While overall home equity remains elevated, recent purchasers with smaller down payments may now face negative equity,” she said.
Home prices have been falling in many parts of the country this year, including Florida and much of the West. The latest Case-Shiller Index showed San Diego home prices falling 0.9% in September — the fifth monthly decline.
As a result, homeowners across the United States have lost an average of $13,400 in equity over the past year. The top two states in equity loss were Florida ($37,400) and California ($32,500).
Cotality warned that the increase in properties with negative equity “is a trend that has been gaining steam and signals possible market difficulties ahead.”
TIMES of San Diego

11/25/2025

U.S. FORECLOSURE ACTIVITY POSTS EIGHTH STRAIGHT MONTH OF YEAR-OVER-YEAR INCREASES

Foreclosure Starts Up 20 Percent Year Over Year; Completed Foreclosures Up 32 Percent Year Over Year

IRVINE, Calif., Nov. 13, 2025 /PRNewswire/ -- ATTOM, a leading curator of land, property data, and real estate analytics, today released its October 2025 U.S. Foreclosure Market Report, which shows there were a total of 36,766 U.S. properties with foreclosure filings— default notices, scheduled auctions or bank repossessions — up 3 percent from a month ago and up 19 percent from a year ago.

"Foreclosure activity continued its steady upward trend in October, the eighth straight month of year-over-year increases. Starts rose nearly 20 percent, while completed foreclosures were up 32 percent from last year," said Rob Barber, CEO at ATTOM. "Even with these increases, activity remains well below historic highs. The current trend appears to reflect a gradual normalization in foreclosure volumes as market conditions adjust and some homeowners continue to navigate higher housing and borrowing costs."

States with the worst foreclosure rates were Florida, South Carolina, and Illinois

Nationwide, one in every 3,871 housing units had a foreclosure filing in October 2025. States with the worst foreclosure rates were Florida (one in every 1,829 housing units with a foreclosure filing); South Carolina (one in every 1,982 housing units); Illinois (one in every 2,570 housing units); Delaware (on in every 2,710 housing units); and Nevada (one in every 2,747 housing units).

Among metro areas with populations of 1 million or more, Tampa, FL posted the highest foreclosure rate in October 2025, at one in every 1,373 housing units. The increase reflects a temporary spike caused by the resumption of data collection in Hillsborough County, which added backlogged records and is expected to normalize in November. Following Tampa were Jacksonville, FL (one in every 1,576 housing units); Orlando, FL (one in every 1,703); Riverside, CA (one in every 1,983); and Cleveland, OH (one in every 2,114).

Foreclosure starts highest in Florida, Texas, and California

Lenders started the foreclosure process on 25,129 U.S. properties in October 2025, up 6 percent from last month and up 20 percent from a year ago.

States that had the greatest number of foreclosure starts in October 2025 included: Florida (4,136 foreclosure starts); Texas (3,080 foreclosure starts); California (2,685 foreclosure starts); Illinois (1,252 foreclosure starts); and New York (1,165 foreclosure starts).

Contrary to the national numbers, those major metropolitan statistical areas (MSAs) with a population greater than 1 million that saw the greatest year-over-year declines in foreclosure starts in October 2025 included: Milwaukee, WI (decrease from 33 foreclosure starts in October 2024 to 15 in October 2025); Indianapolis, IN (decrease from 252 to 142 foreclosure starts); Louisville, KY (decrease from 59 to 45 foreclosure starts); Washington, DC (decrease from 308 to 239 foreclosure starts); and Detroit, MI (decrease from 541 to 428 foreclosure starts).

Foreclosure completions increase year over year

Lenders repossessed 3,872 U.S. properties through completed foreclosures (REOs) in October 2025, an increase of 2 percent from last month and an increase of 32 percent from last year.

States that had the greatest number of REOs in October 2025, included: Texas (358 REOs); California (336 REOs); Florida (243 REOs); Pennsylvania (205 REOs); and Illinois (187 REOs).

Those major metropolitan statistical areas (MSAs) with a population greater than 1 million that saw the greatest number of REOs in October 2025 included: Chicago, IL (122 REOs); Atlanta, GA (117 REOs); New York, NY (111 REOs); Houston, TX (74 REOs); and Riverside, CA (72 REOs).

Conclusion

ATTOM's October 2025 U.S. Foreclosure Market Report shows foreclosure activity rose for the eighth straight month year over year, with 36,766 properties with foreclosure filings. Foreclosure starts were up 20 percent from a year ago and completed foreclosures rose 32 percent, though activity remains below historic highs.

PR Newswire

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11/14/2025

Nearly 900,000 homeowners are underwater on their mortgage as home prices fall, signaling a worrying turn in the housing market.

That figure represents 1.6% of all mortgage holders in the U.S. While the share may seem like a small part of the overall market, it’s also the highest rate in three years, according to a new report by Intercontinental Exchange
As existing-home sales remain on track to hit a 30-year low, home prices are losing steam due to years of tepid demand from home buyers. A homeowner is underwater on their mortgage when they owe more on their mortgage than their home is worth.
Home values in some parts of the country, such as Austin, Texas, have fallen over the past year. Sharp-eyed homeowners in some areas may have already noticed a drop in their home’s value as measured by real-estate platform Zillow’s Zestimate.
Some of those homeowners may even find that their home’s value is less than what they purchased it for. As of the start of this year’s fourth quarter, 875,000 mortgage holders owed more on their homes than what they were worth, ICE said. Though the recent jump is notable, the share of underwater loans is still comparable to where levels were before the pandemic and the long-term average since 2001, with the exception of the Great Recession.
While most of the nation’s homeowners have built up some equity in their homes, others “warrant closer attention,” Andy Walden, head of mortgage and housing-market research at ICE, told MarketWatch, “specifically among borrowers that purchased in recent years using low-down-payment mortgages in areas where home prices have begun to soften.”
Nearly 90% of mortgage holders who are underwater on their loans borrowed over the past 3½ years, Walden noted.
Underwater mortgages were more likely to be held by people with a certain type of loan. Two-thirds used mortgages backed by the Federal Housing Administration and the Department of Veterans Affairs, which are typically used by first-time buyers and military servicemembers and veterans, Walden said.
FHA and VA loans allow buyers to purchase homes with a down payment of 3.5% or less of the home’s price.
Economists say the rising number of underwater mortgages isn’t alarming — yet
To be sure, even though the rising share of underwater mortgages is a troubling sign for the market, most of those owners are unlikely to be impacted if they stay put until prices go back up.
But if those homeowners were to sell their homes now, which is already a challenge in today’s slow market, they would lose money.
“This has to be put in the context of aggregate equity positions being stronger than has been the case in decades, point being that this is not a signal that we are on the verge of a repeat of what we saw in the mid-2000s,” Richard Moody, chief economist at Regions Financial Corporation, told MarketWatch.
But “this does pose the risk that if [homeowners underwater] run into a financial hurdle, such as the loss of a job, they may be less likely to be able to make their payment and less willing to do so,” he added. “This in turn could lead to rising foreclosures; but, again, nothing even close to the magnitude of what we saw in the mid-2000s.”
Neil Dutta, head of economic research at Renaissance Macro Research, told MarketWatch that the fact that so many people are underwater partly helps explain why delistings are surging.
In September 2025, the number of for-sale listings that were removed from the market was 52% higher than the previous September, according to data from Realtor.com. (Realtor.com is operated by News Corp subsidiary Move Inc.; MarketWatch publisher Dow Jones is also a subsidiary of News Corp.)
“No one wants to sell if they are in negative equity,” he said.
Why nearly a million homeowners are underwater on their mortgages
The main reason these homeowners are seeing their home values fall is local market dynamics, meaning that housing supply is exceeding demand.
About 30% of markets across the U.S. saw annual price declines as of October, with the sharpest drops in Cape Coral, Fla.; North Port, Fla.; and Austin, Texas, ICE said. Comparing home prices in those metro areas with their peak reveals an even more dramatic shift.
Austin homeowners have experienced the biggest post-pandemic bust. Within the past year alone, home prices fell 4.6% in the Texas capital, ICE said. Comparing the Austin market today to its peak in May 2022, prices are down sharply, by around 22%. In other words, home prices are down nearly $130,000 between May 2022 and October 2025, ICE said.
In Austin, nearly 7% of mortgages are underwater. About a quarter of mortgages were from 2022, and over 15% from 2023 and 2024, ICE data revealed.
Many of those homes where the owners are underwater on their mortgages are “along the commuting corridor,” ICE said, where younger buyers bought cheaper, lower-priced homes. Those areas saw a jump in growth post-pandemic but now are seeing soaring inventory levels push prices down.
Homeowners in Florida followed behind closely. In Cape Coral, where home prices are down 15% from their peak in June 2022, 11% of mortgages are underwater. Over a third of those loans were originated in 2023 and 2024.
These underwater homes are mostly concentrated in cheaper areas that are further inland. Coastal areas prone to flood risk have been less impacted, ICE noted.
Foreclosure rates were also the highest in Florida, according to a separate report by property-data company Attom. In Florida, one in every 2,182 housing units was facing a foreclosure action in September, the highest among all states. That’s a 24% increase from the same month last year. Texas was 10th on that ranking.
MSN.com Market Watch