Top 10 U.S. Housing Markets with Highest Vacancy Rates
ATTOM Data Solutions’ recently released Q2 2020 Vacant Property and Zombie Foreclosure Report revealed that 1.5 million residential properties in the U.S. are vacant, representing 1.5 percent of all homes. The report also found that about 258,000 homes are in the process of foreclosure, with about 7,650, or 3 percent, sitting empty as so-called ‘zombie foreclosures’ in Q2 2020.
According to ATTOM’s Q2 2020 vacant property and zombie foreclosure report, the percentage of zombie foreclosure properties is down slightly from 3.1 percent in Q1 2020, while the total count of properties in the process of foreclosure (258,024) in Q2 2020 is down 8.8 percent from Q1 2020 (282,767). The 7,652 zombie properties represent just one of every 13,000 homes in the nation’s stock of 99.2 million residential properties.
The report noted that foreclosure and zombie property numbers have dropped since Q1 2020, amid a federal prohibition against lenders foreclosing on government-backed mortgages until at least June 30, 2020. The ban, which affects about 70 percent of home loans in the U.S., was enacted under the CARES Act passed by Congress in March of this year and then extended this month to help borrowers affected by the national Coronavirus pandemic.
ATTOM’s vacant property and zombie foreclosure report analyzes publicly recorded real estate data collected by ATTOM Data Solutions — including foreclosure status, equity, and owner-occupancy status — matched against monthly updated vacancy data. Vacancy data is available for U.S. residential properties at https://www.attomdata.com/solutions/marketing-lists/.
Among the high-level findings featured in ATTOM’s Q2 2020 analysis, are the states where the percentages of zombie foreclosures are above the national average of 3 percent. Those states include Ohio (6.7 percent), New Mexico (5.5 percent), Indiana (4.8 percent), Illinois (4.7 percent) and Iowa (4.5 percent). The report noted that New York continues to have the highest actual number of zombie properties (2,158), followed by Florida (1,136), Ohio (877), Illinois (868) and New Jersey (302).
On the metro level, the report cited that among 158 metros included in the analysis with at least 100,000 residential properties, Peoria, IL, continues to have the highest percentage of zombie foreclosures at 12.9 percent, followed by Cleveland, OH (11 percent); Syracuse, NY (8.9 percent); St. Louis, MO (7.8 percent) and Honolulu, HI (7.8 percent). Among the counties with at least 500 properties in foreclosure, those with the top zombie foreclosure rates are Cuyahoga County (Cleveland), OH (12.8 percent); Broome County (Binghamton), NY (10.1 percent); Saint Clair County, IL (outside of St. Louis, MO) (9.5 percent); Onondaga County (Syracuse), NY (9.3 percent) and Madison County, IL (outside of St. Louis, MO) (8.9 percent).
ATTOM’s Q2 2020 vacant property and zombie foreclosure analysis also unveiled the states with the highest overall vacancy rates for all residential properties. Those states are Kansas (2.6 percent), Tennessee (2.6 percent), Mississippi (2.6 percent), Oklahoma (2.6 percent) and Indiana (2.5 percent), while the lowest remain in New Hampshire (0.4 percent), Vermont (0.4 percent), Delaware (0.5 percent), Idaho (0.6 percent) and North Dakota (0.7 percent).
On the metro level, among those areas with at least 100,000 residential properties, here are the top 10 with the highest overall vacancy rates in Q2 2020: Flint, MI (7.01 percent); Youngstown-Warren-Boardman, OH-PA (3.74 percent); Mobile, AL (3.74 percent); Beaumont-Port Arthur, TX (3.46 percent); Montgomery, AL (3.45 percent); Dayton, OH (3.33 percent); Toledo, OH (3.27 percent); Jackson, MS (3.16 percent); Detroit-Warren-Dearborn, MI (3.07 percent); and Peoria, IL (2.95 percent).
Drilling down to the county level, among those counties with at least 50,000 residential properties, here are the top 10 with the highest overall vacancy rates in Q2 2020: Baltimore City/County, MD (8.12 percent); Saint Louis City/County, MO (7.42 percent); Genesee County, MI (7.01 percent); Beaufort County, SC (6.72 percent); Bibb County, GA (5.71 percent); Hinds County, MS (5.68 percent); Saint Clair County, IL (5.47 percent); Wayne County, MI (5.39 percent); Wyandotte County, KS (5.39 percent); and Montgomery County, AL (5.21 percent).
ATTOM’s Q1 2020 vacant property and zombie foreclosure report stated that among zip codes with at least 100 properties in foreclosure, those where the zombie foreclosure rate exceeds 5 percent remain concentrated in New York, Florida, Ohio and Illinois. Those zip codes with the top percentages are 44108, 44112 and 44105, all in Cleveland, OH, 62002 in Alton, IL and 13601 in Watertown, NY.
The analysis also reported that the highest levels of vacant investor-owned homes are in Indiana (8.4 percent), Kansas (6.6 percent), Ohio (6.3 percent), Minnesota (6.1 percent) and Mississippi (5.8 percent).
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Please contact us if you have questions about the underlying data referenced in this article, or would like to have access to that data in the form of custom reports, API, Bulk File or DaaS.