Foreclosures Are Rising. Here's Why 2026 Is Nothing Like 2008.

Turn on the news and you will hear it. Foreclosures are up. That is factually true, and it is also the most misleading true statement in real estate. Last year there were just over 350,000 foreclosure filings in the US. In the 2008 crisis era there were 9 million. We are bouncing around roughly 100,000 filings a quarter, close to the long-run historical average, and not every filing becomes a distressed sale.

The homeowner balance sheet is a fortress

Around 40% of American homes are owned free and clear. Another 27% of owners hold at least 50% equity. Over half of all outstanding mortgages carry a rate below 4%, and roughly three quarters sit below 6%. Delinquency data shows people prioritising their mortgage above car loans, credit cards and student debt, because their payment is often cheaper than renting the same home. People protect that.

The line that ends the crash conversation

In 2008 people walked away because they owed more than the home was worth. Today the average homeowner has gained around $128,000 in equity in six years, so a struggling owner can almost always sell, pay their agent and still leave with money. That is not a crash setup. It is a safety valve. For agents, this is the education content your market is starving for, and it is also a genuine service opportunity, because owners in difficulty need a professional exit, not a bank one.