Rising Foreclosure Activity Across the U.S. Underscores Importance of Proactive Action

Recent data from ATTOM's April 2025 U.S. Foreclosure Market Report highlights significant property foreclosure increases in several states, emphasizing the need for proactive measures to address the resulting public health and safety concerns.

Nationwide Foreclosure Trends

In April 2025, a total of 36,033 U.S. properties had foreclosure filings—default notices, scheduled auctions, or bank repossessions—marking a 0.4% increase from the previous month and a 13.9% rise year-over-year. (ATTOM)

Lenders initiated foreclosure proceedings on 25,265 properties, up 0.8% from March and 16.1% from April 2024. (ATTOM)

State-Specific Foreclosure Data

California:

• Reported 2,501 foreclosure starts in April 2025, ranking third nationally behind Texas and Florida.
• The Riverside metropolitan area had one of the highest foreclosure rates among large U.S. metros, with one in every 2,106 housing units receiving a foreclosure filing.

Nevada:

• Had the fifth-highest foreclosure rate in April 2025, with one in every 2,944 housing units experiencing a foreclosure filing.
• In Q1 2025, Nevada's foreclosure rate was one in every 874 housing units, placing it third nationally. (ATTOM)

Texas:

• Led the nation with 3,280 foreclosure starts in April 2025. (ATTOM)
• Houston reported one in every 2,147 properties in foreclosure, with 1,202 foreclosure starts. (San Antonio Express-News)

Illinois:

• Ranked second nationally for foreclosure rates in Q1 2025, with one in every 857 housing units affected. (ATTOM)

The Role of the Health and Safety Receivership Remedy

As foreclosure rates rise, many properties become vacant and fall into disrepair, posing significant health and safety risks to communities. Health & Safety Receiverships offer a legal mechanism to address these issues. Below are some examples using some of the states cited in ATTOM’s Foreclosure Report. 

• California: Under Health & Safety Code §17980.7(c), courts can appoint receivers to rehabilitate properties that pose health and safety hazards.
  
  
• Nevada: NRS 32.10 allows for the appointment of a receiver over real property. Nevada Assembly Bill 211, which was introduced this year, would provide the statutory framework for municipalities to seek the appointment of a receiver to rehabilitate properties that pose health and safety hazards.
  
  
• Texas: Texas Health & Safety Code §214.003 permits municipalities to seek receivership for buildings that are unfit for human habitation.
  
  
• Illinois: Under 65 ILCS 5/11-31-2, municipalities can petition courts to appoint receivers for dangerous and unsafe buildings.

By leveraging these statutes, municipalities can ensure that foreclosed and abandoned properties are returned to safe and habitable conditions, thereby protecting public health and revitalizing communities.

Conclusion

The increasing foreclosure rates across multiple states highlight the urgent need for proactive solutions to manage any resulting public health and safety challenges. Health & Safety Receiverships provide a proven legal framework to rehabilitate distressed properties and safeguard communities.

At Griswold Receivers, we specialize in implementing receivership solutions. Our team is dedicated to restoring properties to safe conditions and supporting municipalities in their efforts to maintain healthy communities.

Contact us to learn more about how Health & Safety Receiverships can benefit your community.

For more information on foreclosure trends, visit ATTOM's April 2025 U.S. Foreclosure Market Report.