You have probably seen the headlines saying foreclosures are rising, and it can feel unsettling if the first thing that comes to mind is 2008. That reaction makes sense. But today’s market is not a replay of the housing crash. In Q1 2026, ATTOM reported 118,727 properties with foreclosure filings, which was up 26% year over year, while the average foreclosure timeline fell to 577 days. Those numbers show a market that is changing, but not one that looks like the last crisis.
The recent increase is real, and it is worth watching. ATTOM says foreclosure activity in March 2026 was up 18% from February and 28% from March 2025, which fits the broader pattern of activity moving back toward normal after the unusually low pandemic years. But those ultra-low pandemic readings were not the baseline; they were shaped by foreclosure pauses and other relief measures. ATTOM also says today’s volumes are still well below housing-crisis levels, so this is more of a normalization story than a warning sign of a 2008-style collapse.
What matters most is context. A rise from very low levels can look dramatic in a headline, but it does not automatically mean the market is in trouble. In this case, the data point to a market that is simply working through some delayed stress and moving closer to its pre-pandemic rhythm.
One of the biggest differences between now and 2008 is equity. Cotality’s latest report says the average homeowner with a mortgage still has about $295,000 in equity, and total borrower equity remains around $17 trillion. That matters because equity gives many homeowners options they simply did not have during the last crash.
Back then, a lot of owners owed more than their homes were worth, so selling was not realistic. Today, many homeowners can still sell, pay off their loan, and potentially walk away with money left over. That is a very different situation from the one that drove the foreclosure crisis years ago, and it is a major reason foreclosure activity is less likely to spiral the same way this time.
If you are struggling, the most important thing to know is that missing one or two payments does not automatically mean you will lose your home. The CFPB says servicers can offer options such as repayment plans, forbearance, loan modifications, or even other loss-mitigation paths depending on the situation. HUD also recommends that homeowners reach out early and, when needed, contact a HUD-approved housing counselor for help navigating the process.
The sooner you contact your servicer, the more room there usually is to find a solution. That is especially important because some foreclosure processes move faster than people expect. If selling makes more sense, a real estate agent can also help you understand what your home might sell for and whether that could be a better path than waiting.
Bottom Line
Foreclosure filings are rising, but they are still far below the levels tied to the last housing crash. With today’s equity levels and the options available through servicers and housing counselors, this market looks very different from 2008.
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