Mortgage Delinquencies Surge In 87 U.S. Cities As Financial Strain Mounts / Fresh Today / CUToday.info

MIAMI—Mortgage delinquency is worsening across much of the country, with rates ranging from about 3% to nearly 24% depending on the city, according to a new report from WalletHub.

The personal-finance firm analyzed proprietary user data from the first two quarters of 2025 to identify where homeowners face the highest risk of missed payments, credit-score damage, and foreclosure.

WalletHub found that 87 of the 100 largest U.S. cities saw delinquency rates rise between Q1 and Q2, as elevated mortgage rates, high home prices, and broader cost-of-living pressures strained household finances.

“The rate of mortgage delinquency varies significantly from city to city,” the report said. “The bad news is the problem as a whole is also getting worse this year.”

Laredo, Texas posted the highest share of delinquent mortgages at around 24%, far above any other city measured. Laredo also saw a nearly 6% quarter-over-quarter increase, with WalletHub noting widespread financial distress and weaker money-management indicators among residents.

Detroit, Michigan, ranked second at nearly 19%, and also shows broader repayment struggles; it has the third-highest overall debt delinquency rate nationwide. Detroit’s mortgage delinquency rate jumped 11% in the latest quarter.

Newark, New Jersey, placed third, with close to 17% of mortgages delinquent and a 9% quarter-to-quarter surge. Newark also ranks among the top five cities for overall debt delinquency.

WalletHub said the pattern signals rising strain on homeowners and growing risk for lenders as housing affordability continues to deteriorate.