The foreclosure rate in the United States has experienced significant fluctuations over the past two decades, reaching its peak in 2010 at 2.23 percent following the financial crisis. Since then, the rate has steadily declined, with a notable drop to 0.11 percent in 2021 due to government interventions during the COVID-19 pandemic. In 2024, the rate stood slightly higher at 0.23 percent but remained well below historical averages, indicating a relatively stable housing market. Impact of economic conditions on foreclosures The foreclosure rate is closely tied to broader economic trends and housing market conditions. During the aftermath of the 2008 financial crisis, the share of non-performing mortgage loans climbed significantly, with loans 90 to 180 days past due reaching 4.6 percent. Since then, the share of seriously delinquent loans has dropped notably, demonstrating a substantial improvement in mortgage performance. Among other things, the improved mortgage performance has to do with changes in the mortgage approval process. Homebuyers are subject to much stricter lending standards, such as higher credit score requirements. These changes ensure that borrowers can meet their payment obligations and are at a lower risk of defaulting and losing their home. Challenges for potential homebuyers Despite the low foreclosure rates, potential homebuyers face significant challenges in the current market. Homebuyer sentiment worsened substantially in 2021 and remained low across all age groups through 2024, with the 45 to 64 age group expressing the most negative outlook. Factors contributing to this sentiment include high housing costs and various financial obligations. For instance, in 2023, 52 percent of non-homeowners reported that student loan expenses hindered their ability to save for a down payment.

In the second quarter of 2024, the share of mortgage loans in the foreclosure process in the U.S. decreased slightly to 0.43 percent. Following the outbreak of the coronavirus crisis, mortgage delinquency rates spiked to the highest levels since the Subprime mortgage crisis (2007-2010). To prevent further impact on homeowners, Congress passed the CARES Act that provides foreclosure protections for borrowers with federally backed mortgage loans. As a result, the foreclosure rate fell to historically low levels.

The number of properties with foreclosure filings in the United States declined in 2024, but remained below the pre-pandemic level. Foreclosure filings were reported on approximately 322,100 properties, which was about 34,900 fewer than in 2023. Despite the decrease, 2024 saw one of the lowest foreclosure rates on record.

Graph and download economic data for Large Bank Consumer Mortgage Balances: 90 or More Days Past Due: Including Foreclosures Rates: Balances Based (RCMFLBBALDPDPCT90P) from Q3 2012 to Q4 2024 about 90 days +, FR Y-14M, large, balance, mortgage, consumer, banks, depository institutions, rate, and USA.

About three percent of U.S. homeowners with a mortgage who were behind on mortgage payments in October 2023 were very likely to face eviction in the next two months due to a foreclosure. Additionally, 18 percent of the respondents were somewhat likely to be evicted. In 2022, the foreclosure rate in the U.S. picked up, after a long period of steady decline after the subprime mortgage crisis.

In the second quarter of 2024, the share one-to-four family residential mortgage loans entering the foreclosure process in the U.S. was 0.13 percent. Following the coronavirus pandemic outbreak in 2020, mortgage delinquency rates surged, followed by a gradual decline. Between the second quarter of 2020 and the first quarter of 2022, foreclosures remained at record low levels due to The Coronavirus Aid, Relief, and Economic Security Act (CARES Act).

This statistic shows the foreclosure filings in the United States as of June 2017, by state. South Dakota had the lowest rate with only one in every 24,583 housing units being subject to foreclosure.

This statistic shows the foreclosure rates of subprime conventional loans in the United States from 2000 to 2016. In 2016, 7.2 percent of subprime conventional loans were in foreclosure.

Foreclosure Statistics: Dwellings with begun foreclosure according to dwelling status. Quarterly. Autonomous Communities and Cities.

This statistic presents the share of federal housing administration loans entering the foreclosure process in the United States from 2000 to 2018. The share of federal housing administration loans entering the foreclosure process decreased from 2.3 percent in 2000 to 2 percent in 2018.

Under the effects of the coronavirus pandemic, delinquency rates surged for all loan types in 2020. Nevertheless, due the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), foreclosure rates remained low.

This statistic presents the number of housing units with foreclosure filings in the United States from 2006 to 2014. The number of properties with foreclosure filings decreased from approximately 2.82 million in 2009 to approximately 1.12 million in 2014.

The share of non-performing mortgage loans in the United States has declined significantly since the subprime mortgage crisis in 2008. After the burst of the housing bubble, the share of loans which were 90 to 180 days past due date climbed to 4.6 percent. The fourth quarter of 2010 witnessed the highest rate of loans in foreclosure, bankruptcy, or deed-in-lieu, amounting to four percent. In the third quarter of 2024, the foreclosure rate stood at 0.1 percent - the lowest figures on record. Meanwhile, the 30 to 60 days delinquency rate rose to 1.8 percent and the 90 to 180 days delinquency rate rose to 0.7 percent, showing an uptick in the late mortgage payments.

This statistic presents the share of prime conventional loans in the foreclosure process in the United States from 2005 to 2018. The share of prime conventional loans in the foreclosure process was 0.9 percent in 2005 and it remained the same in 2018. Under the effects of the coronavirus pandemic, delinquency rates surged for all loan types in 2020. Nevertheless, due the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), foreclosure rates remained low.

This statistic presents the share of veterans administration loans in the foreclosure process in the United States from 2000 to 2018. The share of veterans administration loans in the foreclosure process decreased from 5.8 percent in 2013 to less than one percent in 2018.

Under the effects of the coronavirus pandemic, delinquency rates surged for all loan types in 2020. Nevertheless, due the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), foreclosure rates remained low.

This statistic shows the number of properties with foreclosure filings in selected cities in the United States in the first half of 2018. In that period, there were 3,578 properties with foreclosure filings in Philadelphia, Pennsylvania.

Federal Housing Administration (FHA) loans had the highest delinquency rate in the United States in 2024. As of the second quarter of the year, 10.6 percent of one-to-four family housing mortgage loans were 30 days or more delinquent. This percentage was lower for conventional loans and Veterans Administration loans. Despite a slight increase, the delinquency rate for all mortgages was one of the lowest on record.

This statistic shows the average number of days taken to complete a foreclosure in the United States from the first quarter of 2007 to the third quarter of 2018. In the third quarter of 2018, foreclosures in the U.S. were completed, on average, in 713 days.

This statistic shows the likelihood of residence being foreclosed upon according to mortgage holders in the United States in 2018. In 2018, 70 percent of the respondents said that it was very unlikely that they would experience the foreclosure of their residence.

The mortgage delinquency rate for Veterans Administration (VA) loans in the United States has decreased since 2020. Under the effects of the coronavirus pandemic, the mortgage delinquency rate for VA loans spiked from 2.81 percent in the first quarter of 2020 to 8.05 percent in the second quarter of the year. In the second quarter of 2024, the delinquency rate amounted to 4.63 percent. Historically, VA mortgages have significantly lower delinquency rate than conventional mortgages.

As a result of the coronavirus (COVID-19) crisis, many people worldwide faced job insecurity and loss of income. For mortgage borrowers in the United States, this means increased default and foreclosure risk. Forbearance is a type of borrower assistance which allows the lender to negotiate a temporary postponement of a mortgage repayment. It allows a payment period relief in lieu of the creditor foreclosing on any property that was used as collateral for the loan.

As of March 2022, New York was one of the states in the United States with highest forbearance rate for Freddie Mac single-family housing loans with approximately 0.87 percent of current loans in forbearance.