Foreclosures Near Record Low: What This Means for Today’s Housing Market

If you’ve been keeping an eye on the housing market, here’s some good news: foreclosures aren’t flooding the market—and that’s an important distinction.

In July, only about 2% of home sales were foreclosures or short sales. That’s nearly a record low. To put this into perspective, during the 2008 housing crash, distressed properties made up a large portion of sales and drove the market into turmoil.

Today, the situation looks very different. Most homeowners have built strong equity in their homes. That means if they need to sell, they have options—making a surge of distressed sales highly unlikely. This equity cushion is one of the biggest reasons why the housing market is much healthier now than it was in the past downturn.

Why This Matters for Buyers and Sellers

• For Buyers: A stable market with fewer distressed sales helps keep property values strong and predictable.

• For Sellers: High equity and limited foreclosure competition means your home can hold its value, and in many cases, appreciate.

The bottom line? Today’s housing market is strong, stable, and much more resilient compared to the challenges we saw in 2008.

Curious about what’s really happening in our local market? Let’s connect! I’d love to share the latest insights and help you understand what these trends mean for you—whether you’re planning to buy or sell.