The U.S. is in the midst of a housing boom, with the median home price increasing by more than 16%, from the first quarter of 2020 to the first quarter of 2021. Prices rose from $236,250 to $278,000 in that time. In March 2021, there were more than 1.7 million new home starts, up nearly 20% from the previous month.
While this seems to be a positive sign for the U.S. economy, the last time there was a major building boom in the U.S., it ended in the housing bubble bursting and triggering the Great Recession. Different factors were involved then, namely lending companies giving loans to borrowers with bad credit history, which in turn led to a rash of foreclosures. There are reasons to believe that this boom will be different, but there are still many major American cities where residents are struggling to meet their mortgage payments.
To determine the American cities with the most foreclosures, 24/7 Wall St. reviewed data from ATTOM Data Solutions on the percentage of housing units that had foreclosure filings in the first quarter of 2021 in major metropolitan areas.
Across the country’s major metro areas, there are 105.2 million housing units, and 26,481 of those were being foreclosed on. This equates to one foreclosure per 3,971 housing units. There are many areas where foreclosures are more than twice as common.
Of the 25 metro areas with the highest foreclosure rate, 13 are in the South, eight in the Midwest, two in the South, and just one in the Northeast. No state has more high-foreclosure areas than Florida, which has five. Ohio ranks second with three.
Though the residents of these areas are more likely to struggle to afford their homes, the homes themselves are relatively inexpensive. Of the 16 metro areas with median price data for the first quarter of 2021, just two have a higher median home price than is typical nationwide. These are the cities where home values are falling the fastest.
Click here to see the American city with the most foreclosures.
Source: Michael Warren / Getty Images
25. Ocala, FL
> Foreclosure rate, Q1 2021: 2,086 housing units per foreclosure (total filings: 81)
> Median home sales price: N/A
> Total housing units: 168,985
> Population: 353,526
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24. Elkhart-Goshen, IN
> Foreclosure rate, Q1 2021: 2,081 housing units per foreclosure (total filings: 38)
> Median home sales price: N/A
> Total housing units: 79,096
> Population: 204,558
Source: SeanPavonePhoto / Getty Images
23. Columbia, SC
> Foreclosure rate, Q1 2021: 2,054 housing units per foreclosure (total filings: 173)
> Median home sales price: $180,000
> Total housing units: 355,348
> Population: 824,278
Source: Sean Pavone / Getty Images
22. Gainesville, FL
> Foreclosure rate, Q1 2021: 2,049 housing units per foreclosure (total filings: 61)
> Median home sales price: $206,400
> Total housing units: 124,965
> Population: 283,396
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Source: SeanPavonePhoto / Getty Images
21. Augusta-Richmond County, GA-SC
> Foreclosure rate, Q1 2021: 2,016 housing units per foreclosure (total filings: 128)
> Median home sales price: $162,250
> Total housing units: 258,018
> Population: 599,616
Source: benkrut / Getty Images
20. Dayton, OH
> Foreclosure rate, Q1 2021: 2,008 housing units per foreclosure (total filings: 184)
> Median home sales price: $138,000
> Total housing units: 369,474
> Population: 803,543
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Source: Kruck20 / Getty Images
19. Deltona-Daytona Beach-Ormond Beach, FL
> Foreclosure rate, Q1 2021: 1,978 housing units per foreclosure (total filings: 158)
> Median home sales price: $250,000
> Total housing units: 312,477
> Population: 646,288
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Source: SeanPavonePhoto / Getty Images
18. Tallahassee, FL
> Foreclosure rate, Q1 2021: 1,938 housing units per foreclosure (total filings: 88)
> Median home sales price: $200,000
> Total housing units: 170,529
> Population: 382,197
Source: DenisTangneyJr / Getty Images
17. Beaumont-Port Arthur, TX
> Foreclosure rate, Q1 2021: 1,935 housing units per foreclosure (total filings: 92)
> Median home sales price: N/A
> Total housing units: 178,050
> Population: 409,088
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Source: benkrut / Getty Images
16. Akron, OH
> Foreclosure rate, Q1 2021: 1,910 housing units per foreclosure (total filings: 165)
> Median home sales price: $136,900
> Total housing units: 315,127
> Population: 703,845
Source: DenisTangneyJr / Getty Images
15. Lake Charles, LA
> Foreclosure rate, Q1 2021: 1,886 housing units per foreclosure (total filings: 50)
> Median home sales price: N/A
> Total housing units: 94,293
> Population: 208,549
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Source: DenisTangneyJr / Getty Images
14. Fayetteville, NC
> Foreclosure rate, Q1 2021: 1,879 housing units per foreclosure (total filings: 89)
> Median home sales price: N/A
> Total housing units: 167,208
> Population: 386,818
Source: benkrut / Getty Images
13. Peoria, IL
> Foreclosure rate, Q1 2021: 1,792 housing units per foreclosure (total filings: 93)
> Median home sales price: $116,500
> Total housing units: 166,664
> Population: 371,791
Source: SeanPavonePhoto / Getty Images
12. Jacksonville, FL
> Foreclosure rate, Q1 2021: 1,757 housing units per foreclosure (total filings: 367)
> Median home sales price: $250,450
> Total housing units: 644,897
> Population: 1,503,574
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Source: rruntsch / iStock via Getty Images
11. Davenport-Moline-Rock Island, IA-IL
> Foreclosure rate, Q1 2021: 1,717 housing units per foreclosure (total filings: 99)
> Median home sales price: $132,000
> Total housing units: 169,977
> Population: 381,175
Source: benkrut / Getty Images
10. Rockford, IL
> Foreclosure rate, Q1 2021: 1,715 housing units per foreclosure (total filings: 85)
> Median home sales price: N/A
> Total housing units: 145,767
> Population: 338,356
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Source: Sean Pavone / Getty Images
9. Birmingham-Hoover, AL
> Foreclosure rate, Q1 2021: 1,670 housing units per foreclosure (total filings: 309)
> Median home sales price: $190,000
> Total housing units: 516,006
> Population: 1,149,440
Source: felixmizioznikov / Getty Images
8. Florence, SC
> Foreclosure rate, Q1 2021: 1,606 housing units per foreclosure (total filings: 57)
> Median home sales price: N/A
> Total housing units: 91,544
> Population: 205,502
Source: Davel5957 / Getty Images
7. South Bend-Mishawaka, IN-MI
> Foreclosure rate, Q1 2021: 1,572 housing units per foreclosure (total filings: 91)
> Median home sales price: $142,800
> Total housing units: 143,008
> Population: 321,739
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Source: Sean Pavone / Getty Images
6. Cleveland-Elyria, OH
> Foreclosure rate, Q1 2021: 1,456 housing units per foreclosure (total filings: 661)
> Median home sales price: $148,500
> Total housing units: 962,179
> Population: 2,056,898
Source: DenisTangneyJr / Getty Images
5. Atlantic City-Hammonton, NJ
> Foreclosure rate, Q1 2021: 1,441 housing units per foreclosure (total filings: 89)
> Median home sales price: N/A
> Total housing units: 128,251
> Population: 266,105
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Source: Sean Pavone / Getty Images
4. Shreveport-Bossier City, LA
> Foreclosure rate, Q1 2021: 1,353 housing units per foreclosure (total filings: 150)
> Median home sales price: $169,900
> Total housing units: 202,929
> Population: 438,861
Source: DenisTangneyJr / Getty Images
3. McAllen-Edinburg-Mission, TX
> Foreclosure rate, Q1 2021: 1,297 housing units per foreclosure (total filings: 213)
> Median home sales price: N/A
> Total housing units: 276,307
> Population: 855,176
Source: DenisTangneyJr / Getty Images
2. Provo-Orem, UT
> Foreclosure rate, Q1 2021: 1,280 housing units per foreclosure (total filings: 139)
> Median home sales price: $400,594
> Total housing units: 177,920
> Population: 616,791
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Source: jmoor17 / Getty Images
1. Lake Havasu City-Kingman, AZ
> Foreclosure rate, Q1 2021: 518 housing units per foreclosure (total filings: 221)
> Median home sales price: $297,000
> Total housing units: 114,573
> Population: 207,695
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