Housing Market Concerns? 367,000 Homes Hit Foreclosure in 2025- Insiders Claim this is Normalization after Years of Artificially Low Foreclosure Rates Foreclosure filings rose 14% in 2025, affecting over 367,000 U.S. properties due to high interest rates, inflation, and stagnant wages. States like Florida, Delaware, South Carolina, Illinois, and Nevada, along with cities such as Lakeland, Columbia, and Cleveland, experienced the highest rates. Some industry insiders consider this a normalization after artificially low rates, while others, like Donald Trump, propose capping credit card interest rates and restricting institutional investment in single-family homes.

• Over 367,000 U.S. properties entered foreclosure in 2025, a 14% increase from the previous year.
• High interest rates, inflation, rising cost-of-living, and stagnant wages are cited as primary causes.
• Florida led in foreclosure activity, with other states like Delaware, South Carolina, Illinois, and Nevada also showing high rates.
• Cities including Lakeland, Columbia, and Cleveland recorded significant foreclosure concentrations.
• Industry insiders suggest this trend is a ‘normalization’ after years of artificially low foreclosure levels.
• Proposed solutions include capping credit card interest rates at 10% and ending institutional investment in single-family homes.