While the overall amount of foreclosures continued its coronavirus-moratorium descent, the share of zombie properties grew during the third quarter of 2020, according to Attom Data Solutions.
In an analysis of data pulled the week of Aug. 17, Attom’s Vacant Property and Zombie Foreclosure Report showed 215,886 properties in the foreclosure process and approximately 7,960 — or 3.7% — sit vacant. The share rose from 2.97% in
Overall, zombie foreclosures represent one in every 12,486 U.S. residential properties as of the week of Aug. 17.
"Abandoned homes in foreclosure remain little more than a spot on the radar screen in most parts of the United States, posing few, if any, problems from neighborhood to neighborhood," Todd Teta, chief product officer with Attom Data Solutions, said in a press release. "But the latest numbers do throw a small potential red flag into the air, given the increase in the percentage of zombie foreclosures."
About 1.6% of all 99.4 million homes sit vacant in the United States, totaling over 1.57 million single-family homes and condos.
On Thursday, the FHFA announced that the GSEs would
"It appears that an increased number of vacant foreclosure properties may be an unintended consequence of the foreclosure moratoria put in place by federal, state and local governments," said Rick Sharga, executive vice president at RealtyTrac. "Vacant properties can contribute to neighborhood blight, and become safety hazards — especially during a pandemic. So the sooner these abandoned properties can be processed and sold to homebuyers or investors, the better it will be for communities and neighborhoods across the country."
