County court bailiffs carried out 491 repossessions in 2015 compared to 955 in 2014.
The Ministry of Justice figures showed a downward trend since 2008 when almost 2,500 people lost their homes.
But the latest figures are also the lowest since 2004.
The Council of Mortgage Lenders (CML) said the falling figures were in line with the rest of the UK and put the drop down to very low mortgage rates and relatively strong employment.
However it issued a warning to homeowners to think ahead to when interest rates - which have stood at 0.5% since March 2009 - eventually rise.
"The more people can do now to make sure their finances are in place when the rates do rise the better position they will be in at that time," said CML spokeswoman Sue Anderson.
UK Housing Minister Brandon Lewis said: "County court mortgage possession claims are running at the lowest levels since records began.
"This is thanks to our work to tackle the deficit and keep interest rates low, helping more families to stay in their hard-earned homes."
The number of homes repossessed in Wales has halved over the past 12 months and are at the lowest level for more than a decade, official figures have shown.