In a housing market defined by resilience, the scourge of “zombie foreclosures”—abandoned properties caught in the foreclosure process—has nearly disappeared. ATTOM, a leading provider of real estate data and analytics, reports a minimal presence of zombie properties in the fourth quarter of 2024, reinforcing the strength of the housing market even in uncertain economic times.
Vacancy and Foreclosure Trends
According to ATTOM’s Q4 2024 Vacant Property and Zombie Foreclosure Report, there are approximately 1.4 million vacant residential properties in the U.S., representing just 1.3% of all homes. This figure has remained virtually unchanged from the previous quarter and reflects only a modest year-over-year increase.
The number of properties in foreclosure continues to decline sharply. In Q4 2024, 215,601 homes were undergoing foreclosure, marking a 3.3% drop from the previous quarter and a dramatic 32.8% decrease compared to the same period last year.
Of the properties in foreclosure, only 7,100—around 3.3%—are classified as zombie foreclosures, where owners have abandoned their homes. This figure represents a 20.2% year-over-year decline, demonstrating a long-term downward trend that has been bolstered by high home equity levels and steady market demand.
Zombie Foreclosures: A Waning Issue
Zombie properties, often associated with urban blight, are now exceedingly rare. Nationally, they account for just one in every 14,591 homes, a ratio that has improved significantly from one in 11,412 a year ago.
“Zombie foreclosures have largely faded from the housing landscape, a testament to the lasting impact of a robust market,” said Rob Barber, CEO of ATTOM. “High home prices and strong equity positions have insulated most homeowners from foreclosure pressures. When a property is abandoned, it is swiftly absorbed by eager buyers, keeping neighborhoods vibrant.”
Geographic Variations in Zombie Foreclosures
Although zombie foreclosures have decreased nationwide, some areas have experienced small increases. States with the largest year-over-year drops include Connecticut (-87%), Iowa (-76%), and North Carolina (-73%). However, states like Florida, Texas, and Kansas saw increases in zombie properties, with Florida recording a 65% rise from 1,199 to 1,974 properties.
A Stable Vacancy Landscape
The national residential vacancy rate remains steady at 1.3%. The states with the highest vacancy rates include Oklahoma (2.37%) and Kansas (2.28%), while states like New Hampshire and Vermont boast the lowest rates at 0.34% and 0.40%, respectively.
Economic and Market Dynamics Keep Zombie Properties in Check
Zombie foreclosures, once a significant concern in the aftermath of the 2008 financial crisis, have become a minor footnote in today’s thriving housing market. The combination of high equity levels, tight inventory, and proactive buyers ensures that even abandoned properties find new life swiftly. As the market continues to evolve, the near elimination of zombie properties stands as a symbol of enduring strength and resilience.
View our Zombie Foreclosure Infographic by clicking the image.
To learn more and access more detailed data or get the data behind the stories, contact one of ATTOM’s data experts.