In the first quarter of 2023, U.S. foreclosures reached their highest level in six years, with nearly 119,000 properties facing foreclosure filings, reflecting a 26% increase from the same quarter in 2022, according to data from Attom. This rise is attributed to escalating costs associated with homeowners insurance and property taxes, which have become burdensome for many. The average annual homeowners insurance bill rose to $2,948 in 2025, a 12% increase from the previous year, while average property tax burdens climbed 3% to $4,427. Although many homeowners benefit from low mortgage rates, those who bought homes recently at higher rates may be particularly vulnerable, especially in areas where home values have declined. The Federal Housing Administration (FHA) has also limited options for homeowners seeking relief, allowing loan modifications only once every 24 months. Additionally, the average monthly mortgage payment reached a new high of $2,005 by the end of 2022, exacerbating the financial strain on homeowners.