Gradual Annual Rise in Foreclosure Activity Continues in February 2026
Industry Update
March 12, 2026
Source: ATTOM
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.
For full report, please click the source link above.