HUD Articles

Foreclosures drastically increased throughout the nation in 2022. With a total of 248,170 initiated, U.S. foreclosures rose a staggering 169 percent from the previous year.

Foreclosure filings, which include scheduled auctions, default notices, and bank repossessions, also rose substantially in 2022. According to the experts at ATTOM Data Solutions, 324,237 properties filed for foreclosure last year, a 115 percent rise from 2021. Foreclosures were filed on 30,822 homes in December specifically, less than 1 percent higher from the previous month, but up 72 percent over the previous year.

The housing industry has been flipped on its head by high mortgage rates, which have caused a dramatic cooling of a once-hot market. As of January 12th, 2023, a typical 30-year fixed mortgage had an interest rate of 6.33 percent, a 0.15 percent decline from the previous week. Nonetheless, these rates are already significantly lower than 2022, which peaked at a record-shattering 7.08 percent at the tail end of the year.

The forecast for 2023 is still unclear. However, experts predict interest rates will fall to around 5 percent by the end of the year.

Read on for the foreclosure rates in December 2022 – plus the five counties or county equivalents with the highest rates within those states.

50 State Foreclosure Rates

As previously noted, foreclosure rates increased slightly compared to last month, but are up significantly compared to last year. Read on for December foreclosure rates for all 50 states — plus the District of Columbia — beginning with the state that had the lowest rate of foreclosure filings per housing unit.

District of Columbia

Ranking in population between Vermont and Alaska, the country’s second-and-third-least populous states, Washington, D.C. had 61 foreclosures in December, a substantial increase compared to November’s 43. With a total of 350,364 housing units, the foreclosure rate of the Nation’s Capital was one in every 5,744 households, putting it in between the states of Texas (#24) and Virginia (#25).

50. South Dakota

Unsurprisingly, the Mount Rushmore State nabbed the 50th spot for its December foreclosure rate for the fourth month in a row. Having 389,921 total housing units, the fifth-least populous state had a foreclosure rate of one in every 38,992 households with 10 foreclosures. The counties with the most foreclosures per housing unit were (from highest to lowest): Jerauld, Potter, Codington, Meade, and Brookings.

49. Vermont

In 49th place for population, the Green Mountain State maintained its four-month-straight 49th rank for foreclosure rate as well. Of the state’s 334,318 housing units, 14 homes went into foreclosure at a rate of one in every 23,880 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Essex, Grand Isle, Rutland, Franklin, and Orange.

48. Kansas

The Sunflower State ranked 48th in December, a pleasant downtick compared to last month’s 42nd spot. With 1,275,689 homes and a total of 64 housing units going into foreclosure, the 35th most populous state’s foreclosure rate was one in every 19,933 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Russell, Clay, Coffey, Cherokee, and Cowley.

47. North Dakota

The Peace Garden State’s foreclosure rate was one in every 18,532 homes. This puts the fourth-least populous state — with 370,642 housing units and 20 foreclosures — in 47th place. The counties with the most foreclosures per housing unit were (from highest to lowest): Mercer, Traill, Ward, Morton, and Stutsman.

46. Kentucky

With a total of 1,994,323 housing units, the Bluegrass State saw 115 homes go into foreclosure, clinching 46th place and breaking a previous 3-month 45th place streak. This puts the foreclosure rate for the 26th most populous state at one in every 17,342 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Crittenden, Grant, Whitley, Campbell, and Hardin.

45. West Virginia

Ranked 39th in population, the Mountain State earned the 45th spot this month. It has 855,635 housing units, of which 54 went into foreclosure. This means that the foreclosure rate was one in every 15,845 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Cabell, Kanawha, Braxton, Wood, and Roane.

44. Washington

Sorted as 13th in population, the Evergreen State ranked 44th for highest foreclosure rate. It has 3,202,241 housing units, of which 250 went into foreclosure, making the state’s foreclosure rate one in every 12,809 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Grays Harbor, Skagit, Chelan, Lewis, and Pierce.

43. Idaho

Ranked 38th in population, the Gem State earned the 43rd spot as 59 of its homes went into foreclosure in December. With 751,859 total housing units, the state’s foreclosure rate was one in every 12,743 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Jerome, Washington, Twin Falls, Franklin, and Bannock.

42. Montana

Listed as 44th in population, the Treasure State took the 42nd spot. With an ironic 42 foreclosures out of 514,803 housing units, Montana’s foreclosure rate was one in every 12,257 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Sheridan, Toole, Mineral, Dawson, and Beaverhead.

41. Mississippi

Ranked 34th in population, the Magnolia State experienced 143 foreclosures out of 1,319,945 housing units. This puts the foreclosure rate at one in every 9,230 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Simpson, Union, Pearl River, Lee, and Monroe.

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40. Oregon

The 27th most populous state ranked 40th for highest foreclosure rate. Of the Pacific Wonderland’s 1,813,747 homes, 200 went into foreclosure, making for a foreclosure rate of one in every 9,069 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Grant, Clatsop, Josephine, Umatilla, and Lake.

39. Wisconsin

With 308 foreclosures out of 2,727,726 total housing units, America’s Dairyland and the 20th most populous state had a foreclosure rate of one in every 8,856 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Pepin, Juneau, Marathon, Taylor, and Kenosha.

38. Tennessee

Ranked 16th in population, the Volunteer State endured 366 foreclosures out of its 3,031,605 housing units. This puts the foreclosure rate at one in every 8,283 homes and in the 38th spot. The counties with the most foreclosures per housing unit were (from highest to lowest): Meigs, Morgan, Lake, Hardin, and Monroe.

37. Colorado

The 21st most populous state ranked 37th for highest foreclosure rate. Of the Centennial State’s 2,491,404 housing units, 304 went into foreclosure, making for a foreclosure rate of one in every 8,195 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Rio Blanco, Clear Creek, Archuleta, Lake, and Lincoln.

36. Missouri

Listed as 19th in population, the Show-Me State came in 36th for highest rate of foreclosures. Of its 2,786,621 homes, 342 went into foreclosure, making for a foreclosure rate of one in every 8,148 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Webster, Iron, New Madrid, Daviess, and Barry.

35. New Hampshire

New Hampshire, the 41st most populous state, ranked 35th for highest foreclosure rate, an unfavorable contrast to last month’s 44th ranking. The Granite State saw 79 of its 638,795 homes go into foreclosure, making for a foreclosure rate of one in every 8,086 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Cheshire, Merrimack, Strafford, Belknap, and Sullivan.

34. Louisiana

Sorted as 25th in population, the Pelican State took the 34th spot, an improvement from last month’s 22nd ranking. This means that the state had a foreclosure rate of one in every 7,199 households, with 288 homes out of a total of 2,073,200 housing units going into foreclosure. The parishes with the most foreclosures per housing unit were (from highest to lowest): Washington, Beauregard, Tangipahoa, Richland, and Livingston.

33. Minnesota

Ranked 22nd for most populous state, the Land of 10,000 Lakes took the 33rd spot for highest foreclosure rate. It has 2,485,558 housing units, of which 350 went into foreclosure, making the state’s foreclosure rate one in every 7,102 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Faribault, Cottonwood, Mille Lacs, Wright, and Anoka.

32. Rhode Island

The eighth-least populous state took the 32nd spot for highest foreclosure rate. A total of 69 homes went into foreclosure out of 483,474 total housing units, making the foreclosure rate for the Ocean State one in every 7,007 households. With only five counties in the state, the most foreclosures per housing unit were (from highest to lowest): Newport, Kent, Providence, Bristol, and Washington.

31. Alaska

The Last Frontier saw 46 foreclosures, making the foreclosure rate one in every 6,903 homes. This caused the third-least populous state, with a total of 317,524 housing units, to secure the 31st spot. The boroughs with the most foreclosures per housing unit were (from highest to lowest): Anchorage, Sitka, Kenai Peninsula, Matanuska-Susitna, and Fairbanks North Star.

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30. Arizona

Sorted as 14th in population, the Grand Canyon State withstood 465 foreclosures out of its 3,082,000 housing units. This puts the foreclosure rate at one in every 6,628 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Pinal, Graham, Cochise, Mohave, and Gila.

29. Hawaii

The Paradise of the Pacific, and the 40th most populous state, came in 29th for highest foreclosure rate. Of its 561,066 homes, 85 went into foreclosure, making for a foreclosure rate of one in every 6,601 households. Only four of the five counties in the state had foreclosures. They were (from highest to lowest): Hawaii, Honolulu, Maui, and Kauai.

28. Maine

Ranked 42nd in population, the Pine Tree State placed 28th for highest foreclosure rate yet again. With a total of 739,072 housing units, it saw 119 foreclosures for a foreclosure rate of one in every 6,211 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Piscataquis, Waldo, Aroostook, Somerset, and Androscoggin.

27. Oklahoma

The Sooners State claimed the 27th spot, a significant decline compared to November’s 12th place ranking. With housing units totaling 1,746,807, the 28th most populous state saw 282 homes go into foreclosure at a rate of one in every 6,194 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Coal, Kiowa, Ellis, Canadian, and Beaver.

26. Alabama

Listed as 24th in population, the Yellowhammer State came in 26th for highest foreclosure rate, a great improvement from last month’s 14th ranking. Of its 2,288,330 homes, 387 went into foreclosure, making for a foreclosure rate of one in every 5,913 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Pickens, Jefferson, Chambers, Coosa, and Russell.

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25. Virginia

The 12th most populous state ranked 25th for highest foreclosure rate, with 621 homes going into foreclosure. Having 3,618,247 total housing units, the Old Dominion saw a foreclosure rate of one in every 5,826 households. The counties and independent cities with the most foreclosures per housing unit were (from highest to lowest): Buena Vista City, Dickenson, Colonial Heights City, Amelia, and Cumberland.

24. Texas

The Lone Star State saw 2,122 foreclosures this month. With a foreclosure rate of one in every 5,462 households, this puts the second-most populous state in the U.S., with a whopping 11,589,324 housing units, into 24th place. The counties with the most foreclosures per housing unit were (from highest to lowest): Atascosa, Crockett, Madison, Liberty, and Crane.

23. Utah

The Beehive State placed 23rd for highest foreclosure rate. Of its 1,151,414 housing units, 214 homes went into foreclosure, making the 30th most populous state’s foreclosure rate one in every 5,380 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Box Elder, Carbon, Tooele, Juab, and Salt Lake.

22. New Mexico

The 36th most populous state claimed the 22nd spot for highest foreclosure rate. Of the Land of Enchantment’s 940,859 homes, 175 went into foreclosure, making for a foreclosure rate of one in every 5,376 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Union, Guadalupe, Socorro, Curry, and Bernalillo.

21. Arkansas

Listed as the 33rd most populous state, the Land of Opportunity took 21st place once more for highest foreclosure rate in December. The state has 1,365,265 housing units, of which 259 went into foreclosure, making its latest foreclosure rate one in every 5,271 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Lincoln, Prairie, Mississippi, Searcy, and Franklin.

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20. Pennsylvania

The Keystone State has the 20th highest foreclosure rate. The fifth-most populous state saw a total of 1,142 housing units out of 5,742,828 homes go into foreclosure, making the state’s foreclosure rate one in every 5,029 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Delaware, Philadelphia, Westmoreland, Schuylkill, and Erie.

19. Massachusetts

The 15th most populous state ranked 19th for highest foreclosure rate, a slump compared to last month’s 26th place. Of its 2,998,537 housing units, 604 went into foreclosure, making for a foreclosure rate of one in every 4,964 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Hampden, Worcester, Plymouth, Bristol, and Berkshire.

18. Georgia

Ranked eighth in population, the Peach State acquired the 18th spot for highest foreclosure rate, an improvement compared to November’s 10th spot. Of its 4,410,956 homes, 894 were foreclosed on. This puts the state’s foreclosure rate at one in every 4,934 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Banks, Bryan, Bibb, Peach, and Wilkinson.

17. Wyoming

The country’s least populous state claimed the 17th spot for highest foreclosure rate in December, a pleasant change from last month’s 5th rank. With 271,887 housing units, of which 57 went into foreclosure, the Equality State’s foreclosure rate was one in every 4,770 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Platte, Campbell, Carbon, Uinta, and Sweetwater.

16. Nebraska

Sorted as 37th in population, the Cornhusker State ranked 16th with a foreclosure rate of one in every 4,639 homes, a bad sign after November’s 31st spot. With a total 844,278 housing units, the state had 182 foreclosure filings. The counties with the most foreclosures per housing unit were (from highest to lowest): Frontier, Scotts Bluff, Douglas, Seward, and Cherry.

15. New York

With 1,980 out of a total 8,488,066 housing units going into foreclosure, the Empire State claimed the 15th spot in December. The fourth-most populous state’s foreclosure rate was one in every 4,287 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Richmond, Nassau, Orange, Chautauqua, and Suffolk.

14. Connecticut

With 371 of its 1,530,197 homes going into foreclosure, the Constitution State had the 14th highest foreclosure rate at one in every 4,125 households. In the 29th most populous state, the counties that had the most foreclosures per housing unit were (from highest to lowest): Middlesex, New London, Hartford, Litchfield, and Windham.

13. Iowa

The Hawkeye State had the 13th highest foreclosure rate. With 353 housing units out of 1,412,789 homes going into foreclosure, the 31st most populous state’s foreclosure rate was one in every 4,002 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Lucas, Humboldt, Pottawattamie, Montgomery, and Henry.

12. Florida

The third-most populous state in the country has a total of 9,865,350 housing units, of which 2,489 went into foreclosure. The Sunshine State’s foreclosure rate is one in every 3,964 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Osceola, Gilchrist, Hamilton, Holmes, and Dixie.

11. California

The country’s most populous state ranked 11th for highest foreclosure rate. Of its impressive 14,392,140 housing units, 3,678 went into foreclosure, making the Golden State’s foreclosure rate one in every 3,913 households. The counties with the most foreclosures per housing unit were (from highest to lowest): Solano, Kern, Lake, Trinity, and Mendocino.

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10. North Carolina

The ninth-most populous state claimed 10th place for highest foreclosure rate, a disappointment compared to last month’s 24th spot. Out of 4,708,710 homes, 1,215 went into foreclosure. This puts the Tar Heel State’s foreclosure rate at one in every 3,875 homes. The counties with the most foreclosures per housing unit were (from highest to lowest): Jones, Camden, Lee, Pasquotank, and Craven.

9. Michigan

Ranked 10th in population, the Wolverine State secured the ninth spot with a foreclosure rate of one in every 3,834 homes, a disappointing contrast to November’s 17th spot. With a total of 4,570,173 housing units, the state had 1,192 foreclosure filings. The counties with the most foreclosures per housing unit were (from highest to lowest): Shiawassee, Montmorency, Arenac, Muskegon, and Van Buren.

8. Indiana

The 17th largest state by population, the Crossroads of America grasped the eighth spot once more with a foreclosure rate of one in every 3,480 homes. Of its 2,923,175 housing units, 840 homes were foreclosed on in December. The counties with the most foreclosures per housing unit were (from highest to lowest): Grant, Howard, Shelby, DeKalb, and Madison.

7. Maryland

Ranked 18th for most populous state, America in Miniature took 7th place for highest foreclosure rate. With a total of 2,530,844 housing units, of which 728 housing units went into foreclosure, the state’s foreclosure rate was one in every 3,476 households. The counties and independent city with the most foreclosures per housing unit were (from highest to lowest): Caroline, Charles, Calvert, Cecil, and Baltimore City.

6. Nevada

Ranked 32nd in population, the Silver State took the sixth spot for its high foreclosure rate. With one in every 3,109 homes going into foreclosure, and a total of 1,281,018 housing units, the state had 412 foreclosure filings. The counties with the most foreclosures per housing unit were (from highest to lowest): Clark, Nye, Washoe, Humboldt, and Lyon.

5. Ohio

The Buckeye State took fifth place in December with a foreclosure rate of one in every 3,027 homes. With a total of 5,242,524 housing units, the seventh-most populous state had a total of 1,732 filings. The counties with the most foreclosures per housing unit were (from highest to lowest): Columbiana, Cuyahoga, Shelby, Summit, and Marion.

4.Delaware

The sixth-least populous state in the country, the Small Wonder took fourth place in December. With one in every 2,535 homes going into foreclosure and a total 448,735 housing units, the state saw 177 foreclosure filed. With only three counties in the state, the most foreclosures per housing unit were (from highest to lowest): Kent, New Castle, and Sussex.

3. Illinois

The Land of Lincoln lost the top spot for highest foreclosure rate, instead taking third place. Of its 5,426,429 homes, 2,262 went into foreclosure, making the sixth-most populous state’s foreclosure rate one in every 2,399. The counties with the most foreclosures per housing unit were (from highest to lowest): Mason, Madison, Logan, Kankakee, and Jasper.

2. New Jersey

With a foreclosure rate of one in every 2,378 homes, the Garden State placed second in December. The 11th most populous state has 3,761,229 housing units, of which 1,582 went into foreclosure. The counties with the most foreclosures per housing unit were (from highest to lowest): Sussex, Cumberland, Salem, Warren, and Gloucester.

1. South Carolina

With one in every 2,301 homes going into foreclosure, the Palmetto State dethroned Illinois to take the first place ranking. The 23rd most populous state has 2,344,963 housing units and saw 1,019 foreclosure filings. The counties with the most foreclosures per housing unit were (from highest to lowest): Kershaw, Dorchester, Fairfield, Orangeburg, and Greenwood.

The Takeaway

Of all 50 states, California had the most foreclosure filings (3,678), and South Dakota had the least (10). As for the states with the highest foreclosure rates, South Carolina, New Jersey, and Illinois took the top three spots, respectively.

The Great Lakes region had the largest presence among the 10 states that ranked the highest for foreclosure rates. These states were (from highest to lowest): Illinois, Ohio, Indiana, and Michigan.

Two regions – The Plains and the Southeast – tied for having the largest presence among the 10 states that ranked the lowest for foreclosure rates. The states in the Plains region were (from highest to lowest): North Dakota, Kansas, and South Dakota. The states in the Southeast region were (from highest to lowest): Mississippi, West Virginia, and Kentucky.