If you were walking the streets of Laredo during the first half of the year, there would have been a good chance that you encountered someone burdened with mortgage delinquency.
According to the newly published Cities with the Highest Mortgage Delinquency Rates report from WalletHub, Laredo led the nation with the highest mortgage delinquency rate. WalletHub ranked 100 cities by analyzing proprietary user data from the first and second quarters for its new report.
“Laredo, Texas, is the city where people are most delinquent on their mortgages, with around 24% of mortgages in delinquent status as of Q2 2025,” said Chip Lupo, WalletHub analyst. “This is significantly higher than the delinquency rate in other major cities, with no other city in our study surpassing 19%. On top of that, Laredo residents’ delinquency rate is rising; despite already being the highest in the nation, it experienced a nearly 6% increase between Q1 2025 and Q2 2025.”
Rounding out the top five on the mortgage delinquency list were Detroit; Newark, New Jersey; Baton Rouge, Louisiana; and Philadelphia. San Francisco and San Jose ranked at the bottom as the cities with the lowest mortgage delinquencies.
“The rate of mortgage delinquency varies significantly from city to city, ranging from around 3% to nearly 24%,” Lupo added. “The bad news is that while people in some cities are having much more difficulty paying their mortgages than others, the problem as a whole is also getting worse this year. In fact, the mortgage delinquency rate actually increased in all but 13 of the 100 cities in our study between Q1 2025 and Q2 2025.”
Photo by “Not Home” / Wikimedia Commons
