U.S. Foreclosures Up 13%: Lakeland, FL Among Nation’s Top Cities

A Growing Challenge Nationwide

Foreclosures are climbing across the country. In July 2025, foreclosure activity went up by 13% compared to last year, according to ATTOM and Realtor.com. That’s more than 36,000 properties nationwide that received some type of foreclosure filing.

Put another way, 1 in every 3,939 homes in the U.S. faced foreclosure that month. These filings include default notices, scheduled auctions, or repossessions. No matter the details, it shows that many families are struggling to keep up with mortgage payments.

Florida Among the Hardest Hit States

Florida has been hit especially hard. The state ranked #2 in the country for foreclosure rates: 1 in every 2,420 housing units had a filing in July. Only Nevada was worse.

Why Florida? Experts say it comes down to our economy. Tourism and service jobs play a big role here. When times get tight and hours are cut back, it can be harder for families to keep up with their mortgages. Florida also had one of the highest numbers of new foreclosure starts in July, showing this trend is still moving upward.

Lakeland’s Place in the Foreclosure Crisis

Right here in Lakeland, the numbers are especially tough. ATTOM reports that 1 in every 1,802 homes faced foreclosure in July. That puts Lakeland among the top three cities in the entire country.

For a city our size, that is a heavy burden. It means many of our neighbors are under pressure. Families you see at school drop-offs, at the grocery store, or even on your street may be struggling quietly.

At Lincoln Madison Investments, this hits close to home. Our team was born and raised in Lakeland. We live here today, and this is our community, and seeing so many local families face foreclosure is deeply personal.

US Foreclosure Stats July 2025

Why Foreclosures Are on the Rise

Things are tight out there for homeowners. Let’s look at why foreclosures are increasing and what it all means for you and our community.

First, mortgage rates are up. Today, rates linger in the mid-6% range, and that makes monthly payments much harder to manage for many families. (AP News The Associated Press)

Second, housing simply isn’t affordable right now. Even though there is a little more inventory compared to a few years ago, prices still hover well above what average incomes can support. (AP News The Associated Press)

The result? More homeowners fall behind on payments. When that happens, foreclosure is often the next step.

All this also fuels homelessness. In 2024, over 770,000 people were recorded as homeless on any given night in the U.S., up more than 18% from 2023 (AP News The Associated Press)

Many of these cases come down to the same causes: high rents, high mortgage rates, and the lack of affordable housing.

Breaking it down simply:

• High mortgage rates mean higher monthly payments.
• Few affordable homes mean fewer options to refinance or move.
• More families fall behind means more foreclosure filings.
• More foreclosures mean more people at risk of homelessness.

Lessons From the 2008 Foreclosure Crisis

The last time the U.S. saw foreclosures rise this sharply was during the 2007–2010 foreclosure crisis. Back then, it was a perfect storm of bad lending practices, falling home prices, and risky mortgages. Families who thought they could afford a home suddenly couldn’t keep up once payments reset. Millions lost their homes, and the entire economy slid into the Great Recession.

How Today Feels Similar

• Rising Costs: Then it was resetting mortgages, today it’s high mortgage rates that keep payments heavy.
• Unaffordable Housing: Just like then, home prices are higher than most incomes can comfortably support.
• Financial Stress: Families are stretched thin, juggling mortgage, groceries, and gas in a way that feels all too familiar.

How Today is Different

• Stronger Lending Rules: Risky “subprime” loans that fueled the 2008 crash are mostly gone thanks to reforms like the Wall Street Reform and Consumer Protection Act.
• More Equity: Many homeowners today have built up equity in their homes, which gives them more options to sell before foreclosure strips everything away.
• Faster Support Options: Local aid programs, housing authorities, and HUD-approved counseling are more accessible now than in 2008.

What This Means for Lakeland Families

In Polk County, we’re seeing the impact clearly. Lakeland is now one of the hardest-hit cities in the nation, with 1 in every 1,802 homes in foreclosure filings this summer (ATTOM, 2025). That’s a sobering number, but it doesn’t have to lead to the same long-lasting pain families went through in 2008.

Back then, many waited too long to act. They felt trapped, ashamed, or unsure where to turn. The lesson for today: don’t wait. Options like selling before foreclosure, negotiating with lenders, or turning to local housing programs can prevent the worst outcomes.

At Lincoln Madison Investments, we’ve seen firsthand how taking steps early gives families breathing room and a chance at a fresh start.

What Foreclosure Really Means

Foreclosure isn’t just a legal process; it’s a deeply personal experience that affects families, finances, and peace of mind. At its core, foreclosure happens when a homeowner falls behind on mortgage payments and the lender begins the legal steps to take back the property.

But beyond the paperwork and court filings, foreclosure often means:

• Stress and uncertainty: Wondering what will happen to your home, your credit, and your family’s future.
• Financial strain: Late fees, penalties, and rising interest rates can make it feel impossible to catch up.
• Emotional impact: A house is more than four walls; it’s where memories are made. Losing it can feel overwhelming, and the thought of leaving your family without a stable home can be devastating.
• Ripple effects:  Foreclosure can affect your credit score for years, making it harder to buy or rent in the future.

The important thing to remember is that foreclosure does not define you. Many people in Lakeland and across Polk County are going through the same struggle, especially with foreclosures rising nationwide.

The biggest mistake families make is waiting too long. The further foreclosure moves along, the fewer options are left. Another pitfall is ignoring letters and calls from lenders. It can feel overwhelming, but staying silent makes it harder to protect your future.

Having options means you don’t have to wait until it’s too late. Selling your home before foreclosure can protect your credit, give you breathing room, and help you start fresh on your own terms.

What This Means for Homeowners in Lakeland

Options to Avoid Foreclosure

Even if you’ve already received notices, you still have choices. Here are a few:

• Talk with your lender: Sometimes, loan modifications or repayment plans are possible.
• Consider a short sale: Selling your home for less than the mortgage amount can reduce damage to your credit.
• Sell before foreclosure: Many families in Polk County choose to sell quickly, protect their equity, and move forward with a clean slate.

At Lincoln Madison Investments, we buy homes in any condition, often on a fast timeline. For some families, this has been a way to avoid the foreclosure process entirely.

Local Help & Resources for Lakeland Homeowners

You’re not facing this alone. Besides the options to avoid foreclosure, there are helpful local programs that can ease the burden.

• Polk County Housing & Neighborhood Development: Rental and mortgage assistance, emergency repairs.
• Polk County Social Services: Help with rent, mortgage, utilities, and food. (Website)
• City of Lakeland Resource List: Local directory of aid programs. (Website)
• HUD-Approved Housing Counselors: Free advice on foreclosure and refinancing. Call 800-569-4287 or search online

Finding Hope in Hard Times

Losing a home is one of the hardest things anyone can go through. It shakes your sense of stability and can feel overwhelming, but it does not define who you are. Foreclosure is a situation, not a reflection of your worth.

We all need a second chance sometimes. A fresh start can bring new opportunities, less stress, and a path forward that feels manageable. Many families in Lakeland are facing the same challenge right now, and there are ways to take control before foreclosure takes over.

At Lincoln Madison Investments, we understand these struggles because we live here too. Our team is committed to treating every homeowner with dignity and compassion, while helping you explore options that can give you room to breathe and start again.

If you or someone you love is facing foreclosure, call 863-521-0549. A simple conversation can be the first step toward relief and a brighter chapter ahead.

Resources

• ATTOM Data Solutions (August 13, 2025): U.S. Foreclosure Activity Jumps 13% Year Over Year in July, Highest of 2025
• Realtor.com (August 2025): Home Foreclosures Increase, Nevada, Florida, and Maryland Hit Hardest