Some Florida distress grows as broader foreclosures waver

Foreclosure activity continues to trend up nationwide, although it's slowed to start the year.

The 38,840 properties across the country last month with either default notices, scheduled auctions or bank repossessions was down 4% from January, according to property analytics firm Attom. Those foreclosures, which represent 1 in every 3,701 housing units, are up 20% from a year ago, however.

That double-digit annual increase marks the 12th consecutive month of year-over-year rises, said Attom CEO Rob Barber, in a press release. At-large, the over 367,000 properties in some stage of foreclosure last year also represented a 14% increase compared to 2024.

"Even with the continued rise, overall foreclosure levels remain well below historical norms," he said.

The findings follow a recent Intercontinental Exchange report showing foreclosure starts in January catching up to 2020 figures, although the nationwide delinquency rate fell in January and remained below pre-pandemic levels. 

Last month's 25,928 foreclosure starts were a 2% decline from January but a 14% rise from the year ago period, according to Attom. The 4,077 completed foreclosures in February meanwhile represented a 35% increase from last February.

Which markets have the most distress?

Florida continues to have a particularly distressed housing market, with the foreclosure filing rate in one of its worst markets intensifying even though the state overall recorded a decrease in the short month. 

The state's frequency of foreclosure filings in February was 1 in every 2,277 homes. The previous month, it was 1 in every 2,067.

One in every 1,075 homes in Lakeland, Florida had a foreclosure filing in February, the worst rate among larger metro areas with 200,000 or more residents nationwide, according to Attom. Lakeland also had the country's worst foreclosure rate in all of 2025, and the frequency of its filings increased from one out of every 1,262 the previous month. 

The city with the second-worst foreclosure rate last month was Punta Gorda in Southwest Florida, where 1 in every 1,211 homes had a filing. The previous month, 1 in every 1,187 homes there had a foreclosure filing.

Attom has previously described the Sunshine State's woes, as it has 16 of the nation's 50 top counties vulnerable to housing declines, most in the nation. In the recent report, Florida had the third-worst foreclosure rate among all states.

Only South Carolina and Indiana, where 1 in every 1,597 homes had some sort of foreclosure filing last month, had higher statewide rates. Indianapolis and Evansville, Indiana followed the two Florida cities with the highest foreclosure rates among larger metro markets. 

Some of the nation's biggest cities however recorded notable improvements. Among markets with 1 million or more residents, Tucson, Arizona recorded the largest annual decline, with 24 foreclosure starts last month, down from 115 in the year ago period. It was followed by: 

• New Orleans (55 foreclosure starts last month down from 115 in February 2025)
• Buffalo (57, down from 88)
• Philadelphia (482, down from 743)
• Minneapolis (143, down from 218).

While completed foreclosures were up by double digits year-over-year, they fell 14% from January. The dip included improvement in more of the nation's biggest markets, led by St. Louis, which saw a decrease from 91 completed foreclosures last February, to 53 last month.