Foreclosures Climb 13% as Household Costs Rise
Homeowners with mortgages should track insurance and living costs against their monthly payments and contact a housing counselor early if they fall behind.
Updated on Nov. 3, 2026 in Residential
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Foreclosures in the U.S. rose 13% over the past year, according to real estate data firm ATTOM, as a larger share of mortgage holders fall behind on payments. The trend is reshaping conditions for homebuyers in the Omaha metro, where local foreclosure figures are part of the national picture.
Why it matters
Foreclosures are rising because the cost of living has increased, rather than because banks issued loans too freely, which means household budgets, not lending excess, are driving the trend. For homeowners, rising costs such as home insurance and general inflation are squeezing monthly budgets nationwide.
ATTOM reported a 13% rise in U.S. foreclosures over the past year, and home insurance premiums are now 60% higher than in 2021. In Nebraska, one in every 4,428 housing units was foreclosed on.
The players
ATTOM
A real estate data firm that tracks foreclosure activity and publishes national housing market figures.
Family Advisory Housing Services
A nonprofit housing counseling organization where Donna McFarden has worked for 30 years helping clients facing foreclosure.
Jane Liu
An assistant professor of economics at the University of Nebraska Omaha who comments on the economic drivers of rising foreclosures.
The details
Housing counselor Donna McFarden, who has worked for 30 years at Family Advisory Housing Services, reports that requests for help from clients facing foreclosure have increased over the past year. Loan modification rates are also higher than they were in 2008. Assistant economics professor Jane Liu at UNO frames the rise as a cost-of-living problem, not a lending-excess problem. Rising insurance costs and general inflation are squeezing the budgets households rely on to make mortgage payments.
Timeline
2021: baseline year for the 60% home insurance premium increase
2008: financial crisis period used as a comparison point for current loan modification rates
Past year: ATTOM reports the 13% national foreclosure increase and counselors report rising requests for help
The Home Front
ATTOM's national data shows foreclosures climbing 13% over the past year, a trend that now sits against rising home insurance costs and general inflation. Compared with 2008, loan modification rates are higher, but the stub does not give a current figure for them.
If you have a mortgage, review your monthly budget now and compare it against rising insurance and living costs, and contact your loan servicer early if you anticipate trouble making payments. Housing counselors certified through HUD can review your situation and explain options before a missed payment becomes a foreclosure filing.
The takeaway
The rise in foreclosures reflects household budget strain rather than reckless borrowing, so the most useful habit is to track insurance and cost increases against your mortgage payment. If payments look at risk, call a HUD-certified housing counselor early, since help is most available before default.
Further reading
For more on how these pressures play out in home ownership, explore our Residential coverage.
More information
Find a HUD-certified housing counselor through the HUD directory.
Source note: This article includes information reported by KMTV 3 News Now Omaha.
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