Texas Tops Nation in Completed Foreclosures as Dallas-Fort Worth Filings Rise

New national data released this month places Texas ahead of every other state for completed home foreclosures. According to Leinart Law Firm, most homeowners call only after a sale date has already been posted. Founder and managing attorney Marcus Leinart, a Dallas bankruptcy lawyer with more than 20 years of experience, is helping local families understand how much time they actually have.

ATTOM released its mid-year foreclosure report on July 16, 2026. It counted 227,548 properties nationwide with foreclosure filings in the first six months of the year, up 21 percent from 2025. Completed foreclosures rose faster. Lenders took back 27,983 properties nationally, up 33 percent, and Texas accounted for more than any other state at 3,322.

Bankruptcy filings have climbed as well, reaching 591,850 for the twelve months ending March 31, 2026, according to the Administrative Office of the U.S. Courts. Chapter 13 filings, the chapter most often used to save a home, rose 8 percent in the first quarter.

Texas uses a nonjudicial process governed by Chapter 51 of the Texas Property Code. A servicer must give a homestead owner 20 days to cure the default, then 21 days' notice before the sale, held on the first Tuesday of the month at the county courthouse. A homeowner can move from notice to sale in roughly six weeks. No lawsuit is filed. No judge reviews the case.

The automatic stay takes effect the moment a bankruptcy case is filed and can stop a foreclosure sale, including one set for the following Tuesday. Chapter 13 then allows a homeowner to repay past-due amounts over three to five years. The Texas homestead exemption carries no limit on value, so qualifying homeowners generally keep the home.

"People call us on a Monday about a sale scheduled for the next morning, and sometimes we can still help them," said Marcus Leinart, founder of Leinart Law Firm. "But the options are much better six weeks earlier. What homeowners in Texas often don't realize is how little has to happen before a house is sold. There's no courtroom, no hearing, no judge. A filing stops the sale immediately, and Chapter 13 gives a family a structured way to catch up while staying in the home."

The implications of these numbers are significant for Texas homeowners facing financial hardship. With foreclosures on the rise and the state's expedited nonjudicial process, many may lose their homes before they fully grasp their options. The increase in Chapter 13 filings suggests that more families are turning to bankruptcy as a lifeline to save their homes, but the data also underscores the urgency of acting quickly.

For the Dallas-Fort Worth area, where Leinart Law Firm operates, the trend is particularly relevant. The firm, which has filed thousands of bankruptcy cases since opening in 2005, guides clients through Chapter 7 and Chapter 13 filings, creditor negotiations, and the court process. By highlighting the state's foreclosure timeline and the protections available under federal bankruptcy law, the firm aims to educate homeowners on the importance of seeking legal advice early.

As Texas continues to lead in completed foreclosures, the need for accessible legal guidance becomes more pressing. The ATTOM report and court data provide a sobering picture of the housing market's challenges, but they also point to the critical role of bankruptcy in providing a structured path for families to keep their homes.