Skip to main content
Commercial Real Estate

Top 10 states with the largest number of commercial foreclosures

article cover

Tigerstrawberry/Getty Images

less than 3 min read

Let’s Make a Game Plan

Boost your investment game with expert real estate insights. We'll keep you up to date on everything you need to know to be the smartest real estate investor you can be.

In June, there were a total of 647 commercial foreclosures nationwide, up 219% from the historic low of 141 in May 2020. That’s according to the latest foreclosure report from ATTOM Data, a leading provider of nationwide property data. California recorded the highest number of commercial foreclosures, at 214 cases, up 289% from the same month last year.

Here are the top 10 states with the largest number of commercial foreclosures in June:

  1. California: 214
  2. Texas: 70
  3. New York: 58
  4. New Jersey: 47
  5. Florida: 44
  6. Pennsylvania: 24
  7. Illinois: 16
  8. Arizona: 13
  9. Connecticut: 13
  10. Washington: 11

Our take

Commercial buildings are more difficult to purchase than residential properties, especially for new investors, because there are so many barriers to entry. Usually, the valuations of these assets are prohibitively high. One of the best ways to break into this asset class is through the foreclosure process. In fact, it’s even possible to buy a commercial property before it becomes foreclosed through a pre-foreclosure sale. But we won’t sugarcoat it: Purchasing foreclosed commercial properties requires a lot of work. However, given the potential for a quicker return on investment, it’s a fantastic opportunity for ambitious investors.

Let’s Make a Game Plan

Boost your investment game with expert real estate insights. We'll keep you up to date on everything you need to know to be the smartest real estate investor you can be.