Foreclosure activity is trending upwards, and for a real estate investor on the hunt for their next project, this is good news.
The Current Foreclosure Landscape
The latest report from ATTOM reveals significant year-over-year growth in foreclosure activity. In Q3 2025, foreclosure filings increased 17% compared to the previous year, with foreclosure starts up 16% and bank repossessions surging 33% annually. This is a solid uptick.
Not only is foreclosure volume up, but so is its velocity. The average time to foreclose has decreased dramatically to 608 days in Q3 2025—a 25% reduction from the previous year. This acceleration means properties are moving through the foreclosure pipeline faster, requiring investors to act decisively when opportunities arise.
So, if you know you want it, act fast.
Where To Look 👀
Highest Foreclosure Rates by Metro:
1️⃣Lakeland, Florida leads with one in every 470 housing units facing foreclosure
2️⃣Columbia, South Carolina (1 in 506)
3️⃣Cape Coral, Florida (1 in 589)
4️⃣Cleveland, Ohio (1 in 593)
States with Greatest Activity:
1️⃣Florida tops the list with one in every 814 housing units in foreclosure
2️⃣Nevada (1 in 831)
3️⃣South Carolina (1 in 867)
4️⃣Illinois (1 in 944)
But how to actually find a foreclosure?
- Use online foreclosure listings. There are a number of websites that list foreclosures, such as Zillow, Realtor.com, and RealtyTrac. But one of the most comprehensive sources is Foreclosures.com. For a monthly subscription, they provide information about the listing itself, usually with pictures, plus contact information for the trustee and/or attorney involved with the property.
- Contact your local county clerk's office. The county clerk's office will have a list of all foreclosures in your county. You can usually search this list online or in person.
- Network with real estate agents. Real estate agents often have access to foreclosures before they are listed on the market. Let your real estate agent know that you are interested in foreclosures, and they may be able to notify you when new listings become available.
- Attend auctions. Auctions are held on a regular basis at county courthouses across the country. Check out Auctions.com for upcoming in-person and online auctions of foreclosures, bank-owned properties, and sheriff sales.
Okay, so let’s assume you’ve found a foreclosed property with meat on the bone? Congratulations! What next?
Be Prepared From The Get-Go
Foreclosure investing can be a great way to find good deals on real estate, but it is important to be prepared. Be sure to do your research and understand the risks involved before you make an offer on a foreclosed property.
Some auctions don’t allow you to enter the property but if possible, get inside and inspect the property carefully to estimate the repairs needed. You can use our downloadable Scope of Work template to organize this process. You should also look at some comps to assess the property’s rehabbed value. A good real estate agent can help with that.
We Are In Your Corner
Need help lining up financing on your foreclosure or just want to get pricing on your latest project? Reach out to your loan officer directly or contact us at 888.444.3160 to be put in touch.