Foreclosure activity is rising across the United States, and Florida has emerged as the hardest-hit state. According to real estate analytics firm ATTOM Data, one in every 1,829 homes in Florida faced foreclosure in October 2025, the highest rate in the country. Tampa ranked first among large metro areas, with one in every 1,373 housing units receiving a foreclosure filing.

Nationwide, ATTOM recorded 36,766 foreclosure filings in October, up 3 percent from September and 19 percent from the same month last year. Analysts say Tampa’s sharp increase partly reflects the resumption of data collection in Hillsborough County and the addition of backlogged cases.

Causes of the Distress

Economists and realtors point to several factors driving the surge:

• Declining home values following Tampa Bay’s rapid price growth between 2020 and 2023.
• Rising insurance premiums, mortgage interest, and HOA fees, which have added to monthly costs.
• Financial strain on retirees and households with fixed incomes, who are more vulnerable to cost increases.

Local realtors noted that many families who bought during the market’s peak now face losses if they try to sell. Some would need to bring around $10,000 to closing to avoid a short sale, leaving foreclosure as their only option.

National Context

While Florida leads in foreclosure rates, other states also reported high activity. South Carolina, Illinois, Delaware, and Nevada followed Florida in October. Florida also had the most foreclosure starts, with 4,136 filings, ahead of Texas (3,080) and California (2,685). At the same time, some metro areas, including Milwaukee, Indianapolis, and Washington, D.C., saw year-over-year declines.

ATTOM CEO Rob Barber emphasized that the national increase does not signal a housing collapse but rather a “gradual normalization” as markets adjust to higher borrowing and housing costs.

Outlook

Housing analysts expect Tampa’s numbers to stabilize once Hillsborough County clears its backlog of filings. Still, experts urge homeowners facing financial strain to seek help early, before banks begin foreclosure proceedings.

Follow the St. Pete-Clearwater Sun on Facebook, Instagram, Threads, Google, & X

St. Pete-Clearwater Sun: local St. Pete-Clearwater news at PIE-Sun.com