Foreclosures Are Up 21% in 2026. Here Is What That Does and Does Not Mean
ATTOM's mid-year 2026 data shows foreclosure filings up 21% and bank repossessions up 33%. Here is how to read the trend and what it means for sellers, servicers, agents and investors.
Joe Iuliucci
9/23/20262 min read
Foreclosure activity is rising again, and the headlines are loud. The numbers are worth reading carefully, because they tell a more useful story than either "crash" or "nothing to see here."
ATTOM's mid-year 2026 report, released July 16, 2026, counted 227,548 properties with a foreclosure filing in the first half of the year. That is up 21% from the first half of 2025.
The numbers at a glance
Properties with foreclosure filings: 227,548, up 21% from the first half of 2025.
Foreclosure starts: 164,566, up 18%.
Bank repossessions (REO): 27,983, up 33%.
The biggest jump is in REO, up 33%. Bank-owned inventory is moving again, which matters to anyone who sells, lists or buys distressed property.
Reading the trend without the hype
Rising is not the same as a crisis. ATTOM's own CEO put it this way: "Foreclosure activity continued to increase in the first half of 2026, but the broader picture remains one of a market that is gradually returning to more typical patterns."
That is our read too. Activity is building from a period when foreclosure was unusually quiet, and the increase is steady, not sudden. For sellers and servicers, that means more files to manage. For agents, it means more opportunity, but only for those who know how the process works.
What it looks like in our markets
In Nevada, ATTOM recorded 2,935 properties with foreclosure filings in the first half, about 0.22% of housing units. In California, the count was 21,543, about 0.15% of housing units. Those are small shares of the housing stock, but in large markets a small share is still thousands of families and thousands of properties needing a plan.
The timeline is shortening
The average foreclosure in the second quarter of 2026 took 563 days from start to finish, per ATTOM. Timelines vary a lot by state and by whether a process runs through the courts. The takeaway for homeowners is simple: waiting to act leaves fewer options, and it is easy to lose track of how much time is left. Reinstatement, repayment plans, loan modification, a traditional sale, a short sale and an auction sale all have different windows, and servicer rules change.
What this means for each audience
Banks and servicers: Rising REO means more dispositions. Marketing on more than one channel, such as MLS plus online auction, can help move properties without long carrying periods.
Agents and teams: More distressed activity rewards agents who are trained in REO, short sales, BPOs and auctions. If your team does not have a default division, this is a fair time to ask why.
Investors: More bank-owned and auction inventory means more places to look. Seeing all of it takes local knowledge.
Homeowners: Options exist, and the earlier the conversation, the more of them stay open. That is a conversation, not a sales pitch.
Bottom line
The data supports steady, informed activity, not panic. Foreclosures are up 21%, REO is up 33%, and timelines are getting shorter. Whether you are selling, listing, buying or behind on a payment, the best move is to understand your options while you still have time.
Questions about a specific property or market? Contact Joe Iuliucci, KW Default Solutions, at 888-980-9820 or joe.iuliucci@KWDefault.com.
Data reflects national and state figures as reported by ATTOM for the first half of 2026 and may be revised. This content is educational and is not legal or financial advice.
Source: ATTOM, Foreclosure Activity Posts Annual Increase in First Half of 2026 (July 16, 2026).