Approximately 1.4 million residential properties were vacant during the third quarter, according to new data from ATTOM. That figure represents 1.3%, or one in 76 homes, across the nation – roughly the same as in the second quarter of this year.
ATTOM also reported that 222,934 residential properties were in the process of foreclosure in the third quarter, down 6% from the second quarter and down 29.3% from the third quarter of 2023. Among those pre-foreclosure properties, about 7,000 are vacant as zombie foreclosures (pre-foreclosure properties abandoned by owners), slightly up from the number in the prior quarter but down 20.2% from a year ago.
The only annual increases among states that had at least 50 zombie foreclosures in the third quarter came in Florida (zombie properties up 64%, from 1,199 to 1,961), Texas (up 63%, from 112 to 183) and New Jersey (up 12%, from 205 to 230). Georgia’s number has stayed the same, at 85.
“Zombie foreclosures continue to be a mere blip on the radar screen – one of many measures of the overall strength of the U.S. housing market. After some worries about a rise in abandoned homes following the end of the COVID-era foreclosure clampdown, they remain an anomaly throughout most of the country,” said Rob Barber, CEO for ATTOM. “One significant factor is the historically high levels of home equity. This provides homeowners who may be struggling with their mortgage payments a strong incentive to negotiate new payment plans, which in turn reduces the number of foreclosures. As a result, fewer owners are simply walking away from their properties like so many did after the Great Recession of the late 2000s.”