The speed of vacant and foreclosed “zombie” properties has fallen barely all through the nation because the U.S. nonetheless faces housing shortage.
A brand new report from actual property analytics supplier ATTOM reveals that the share of vacant properties in the USA, which accounts for all unoccupied properties, no matter possession sort or foreclosures standing, was 1.2% within the fourth quarter of 2026. This determine is down from 1.3% in each the third quarter this yr and fourth quarter final yr.
ATTOM discovered 269,195 properties had been within the foreclosures course of within the fourth quarter, of which 8,040, or 3%, had been thought-about “zombies,” or properties that had been deserted by the proprietor previous to the completion of the foreclosures course of.
That proportion is down barely from the identical quarter in 2025, when 3.3% of properties within the foreclosures course of had been zombies.
Regardless of the nationwide lower within the zombie share of foreclosures, 29 states noticed the variety of zombie properties enhance from the third quarter to the fourth quarter of 2026. Nonetheless, solely a really small portion of the nation’s residential properties are vacant or deserted.
“The fourth-quarter knowledge confirmed modest declines in each emptiness and zombie foreclosures charges nationwide,” mentioned Rob Barber, CEO of ATTOM. “Whereas tendencies differ from state to state, vacant and deserted houses proceed to characterize a comparatively small share of the nation’s housing inventory.”
The biggest proportion will increase in zombie properties from quarter three to quarter 4 had been seen in Wisconsin, up 20.9% to 52; Maryland, up 19.2% to 180; Pennsylvania, up 17.2% to 252; and Texas, up 15.7% to 192.
The biggest decreases from quarter to quarter had been present in Arizona, down 34.9% to 56; Florida, down 19.6% to 2,220; California, down 10.4% to 267; South Carolina, down 9.6% to 141; and Oklahoma, down 8.9% to 82.
Even with vacancies reducing, the housing provide all through the nation stays tight.
March analysis from Realtor.com® estimates that the U.S. housing provide hole has surpassed 4 million models.
The housing scarcity is mirrored lately’ climbing costs and the median age of first-time homebuyers, which rose to 40 in 2025—a pointy enhance from 33 in 2020, based on the Nationwide Affiliation of Realtors®.
The shortfall in essential housing is the results of greater than a decade of constructing fewer houses than wanted.
The scarcity of recent residential development continued this fall, with September house begins down 5.2% from August and down 7.4% from September 2025. September completions had been down 2.2% from August and down an eye-watering 14% from final yr, based on Realtor.com knowledge.
Whereas many builders are providing value cuts and incentives to get stock transferring, many potential patrons are owners holding on to their at present decrease rates of interest, and first-time patrons who’re hesitant to leap in at present charges.
Whereas snapping up a zombie property could possibly be a lovely choice to get into a house, inexperienced patrons ought to be cautious of being drawn in by an reasonably priced price ticket.
Along with typically needing intensive TLC, zombie properties can include a prolonged technique of figuring out possession and resolving insurance coverage and tax points.
“For the appropriate purchaser, these properties can create a chance to carry a uncared for house again into use,” actual property investor Jesse Wyatt tells Realtor.com. “However there’s a large distinction between seeing potential and dashing into a large number. A purchaser ought to by no means assume that an empty property is obtainable, deserted by the lender, or freed from issues.”
