Foreclosures Continue To Be Very Low - Nothing To See Here-Zombie Foreclosure report

Foreclosures Continue To Be Very Low - Nothing To See Here-Zombie Foreclosure report

Investor · Get yourself trained before doing something inadvisable. · Member since 2024 · 3k+ posts · 1k+ votes

Zombie Foreclosure report shows 1,390,000 U.S. homes are available, so go buy one - there is plenty of inventory

ATTOM's Q3 2025 Vacant Property and Zombie Foreclosure report shows 1,390,000  U.S. homes, or 1.3%, are currently vacant — a rate that has stayed consistent for more than three years despite high housing demand.

Seven of the states in ATTOM's top 10 are judicial foreclosure states, which means there's a long process that banks have to go through within the judicial system in order to foreclose on a property, which can cause a backlog of pending foreclosures in the system, said Tina Tamboer, senior housing analyst for The Cromford Report.

Indeed, the number of foreclosures today are a tiny fraction of what happened during the Great Recession

Today, most of the foreclosures are investors who bought homes in 2022 and don't have enough equity in the properties, Tamboer said. "The reality is, we're not seeing the beginnings of another foreclosure crisis," she said.

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  • Property Manager · Erie & Millscreek PA | Maggie Valley & Haywood County NC · Member since 2024 · 264 posts · 118 votes
    1y

    @Ken M.

    Interesting insights, Ken! It’s good to see that foreclosure levels remain low and we’re not heading toward another crisis like the Great Recession.

    The fact that most foreclosures today are from investors who over-leveraged in 2022 highlights the importance of proper underwriting and maintaining equity cushions.

    I’m curious, do you see any particular markets or states where the judicial process is causing inventory bottlenecks, or is it fairly consistent across the top 10?

    • Investor · Get yourself trained before doing something inadvisable. · Member since 2024 · 3k+ posts · 1k+ votes
      1y
      Quote from @Benjamin Louie:

      @Ken M.

      Interesting insights, Ken! It’s good to see that foreclosure levels remain low and we’re not heading toward another crisis like the Great Recession.

      The fact that most foreclosures today are from investors who over-leveraged in 2022 highlights the importance of proper underwriting and maintaining equity cushions.

      I’m curious, do you see any particular markets or states where the judicial process is causing inventory bottlenecks, or is it fairly consistent across the top 10?

      Everything that I've read indicates a nationwide aversion to letting the chips fall where they may. No one wants to be "on watch" when that happens. :-) Hint. Eventually it will.
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