Back to top
Join us on LinkedIn Follow us on Twitter Like us on Facebook Follow us on Instagram
 
  OCTOBER RESEARCH STORE SUBSCRIBE LOG IN
AddControlToContainer_DynamicNavigation1

Zombie foreclosures rise in second quarter

Email A Friend Printer Friendly Version
0 comments
Market Data
Tuesday, June 8, 2021
About 1.4 million residential properties across the country, representing 1.4 percent of all homes, are vacant, according to a ATTOM Data Solutions second-quarter 2021 Vacant Property and Zombie Foreclosure Report.

The report also states 223,671 properties are in the process of foreclosure in the second quarter, up 27.5 percent from the first quarter but down 13.3 percent from a year ago. The number of pre-foreclosure homes, or “zombie” homes, sitting empty in the second quarter was 8,078, up 21 percent from the first quarter and 5.6 percent from a year ago.

The portion of pre-foreclosure properties that have been abandoned into zombie status dropped slightly, from 3.8 percent in the first quarter to 3.6 percent in the second. The portion of zombie properties, one of every 12,256 homes in the second quarter, rose from one in 14,825 in the first quarter and one in 12,967 a year ago.

“The latest numbers show a spike in zombie properties during the second quarter that stands out compared to recent times, especially given the moratorium. It may simply be due to lenders foreclosing on homes that were already abandoned. We are watching that closely to see what it means and whether it’s the start of new trend,” ATTOM Chief Product Officer Todd Teta said in a release.

“But even with the increase, zombie foreclosures are still just a dot on the housing market radar screen, which is more testimony to how strong the housing market remains,” he said. “You can still walk around most neighborhoods around the country and literally not find a single empty house going through the takeover process, and that remains very good news for current homeowners, as well as potential homeowners.”

Among states with at least 100 zombie foreclosures during the second quarter, some the biggest increases from the first quarter include Maryland (up from 44 to 151), Iowa (up from 43 to 114), North Carolina (up from 68 to 119), South Carolina (up from 79 to 133) and Ohio (up from 633 to 1,033). New York continues to have the highest number of zombie properties in the second quarter (2,052), followed by Ohio (1,033), Florida (1,021), Illinois (897) and Pennsylvania (401).

“We’ve seen this before: government officials who are trying to prevent unnecessary defaults delay foreclosure proceedings for so long that the distressed borrowers simply abandon the property before the foreclosure takes place,” RealtyTrac Executive Vice President Rick Sharga said. “There are probably two things behind the increase in zombie foreclosures: First, the fact that most foreclosure starts today are on vacant and abandoned properties; and second, there were also almost 250,000 loans in foreclosure prior to the pandemic, and they’ve been in limbo for over 14 months. Very likely that some of the borrowers in those properties have moved on, but lenders have been prohibited from beginning foreclosure proceedings on those loans.”

States with the biggest quarterly decreases in overall vacancy rates are Rhode Island (down from 1.3 percent of all homes in the first quarter to 1 percent in the second quarter), Mississippi (down from 2.5 percent to 2.2 percent), Kentucky (down from 1.2 percent to 1.1 percent), South Carolina (down from 1.7 percent to 1.6 percent) and Kansas (down from 2.5 percent to 2.4 percent).

Today's other top stories
Zillow: Interest rate swings complicate market for homebuyers, sellers
Utah First Title acquired by credit union
2023 Voice of the Title Agent winners announced
American Eagle Title Group, Closinglock partner
Stewart adds to Southeast agency underwriting team


COMMENT BOX DISCLAIMER:
October Research is not responsible for the comments posted on its websites by readers. We will do our best to remove comments that include profanity or personal attacks or other inappropriate comments.
Comments:

Be the first to leave a comment.

Leave your comment
CAPTCHA Validation
CAPTCHA
Code:
: 
: 
Your Email is for reporting purposes only. It will NOT be displayed.
Popularity:
This article has been viewed 4528 times.

Tweets from @TheTitleReport/lists/around-the-industry
News by Topic   News by Edition   Special Reports   Events   Subscribe
Announcements
Conference Coverage
Cyberawareness
Industry News
Market Data
People on the Move
Technology
Trendsetters
The TRID Journey
 
February, 13 2023
February 27, 2023
March 13, 2023
March 27, 2023
Archives
 
2023 State of the Industry Report
Voice of the Title Agent Report
Mergers & Acquisitions
Title Technology Report
Real Estate Compliance Outlook
Trendsetters
Archives
 
 
National Settlement Services Summit (NS3)
Women's Leadership Summit (WLS)
Webinars
 
Newsletter Subscriptions
Free Email Updates
Try a Free Edition
  Resources   About   Other Publications  
 
eClosing Solutions Showcase
Best Practices Provider Directory
Industry Partners
 
The Title Report
Contact / Editors
Social Media
Advertise
Are You An Expert?
Subscriber Agreement
 
The Legal Description
RESPA News
Valuation Review
Dodd Frank Upate
 
                 
Copyright © 1999-2023 The Title Report
An October Research, LLC publication
3046 Brecksville Road, Suite D, Richfield, OH 44286
(330) 659-6101, All Rights Reserved
www.thetitlereport.com | Privacy Policy
VISIT OUR OTHER WEBSITES
> Valuation Review
> RESPA News
> The Legal Description
> Dodd Frank Update
> The October Store


Loading... Loading...
Featuring:
  • Delivery 3X a week plus breaking news as it happens
  • Comprehensive title insurance industry news
  • Recent acquisitions, mergers, real estate stats
  • Exclusive in-depth coverage of the industry's hottest stories
Featuring:
  • Delivery 2X a week plus breaking news as it happens
  • Comprehensive Dodd-Frank coverage
  • The latest information from the CFPB
  • Full coverage of Congressional hearings
  • Updates on all agency actions
  • Analysis of controversial provisions
  • Release of newest studies and reports
Sign up today and...
  • Be one of the first to know where NS3 is being held
  • Learn about NS3 speakers and sessions
  • Save on registration with Super-Early Bird rates
  • Discover the networking opportunities NS3 offers
  • Find out if CE credits will be offered for your area
  • And much more
Featuring:
  • Delivery 2X a week plus breaking news as it happens
  • Preview the latest RESPAnews.com Top Story
  • RESPA related headline news
  • Quote of the Week
Featuring:
  • Delivery 2X a week plus breaking news as it happens
  • Legal, regulatory and legislative information impacting the settlement services industry
  • News from HUD, Congress, state legislatures and other regulatory agencies
  • Follow the lobbying efforts of all the major national real estate services organizations.
Featuring:
  • Delivery 2X a week plus breaking news as it happens
  • The industry's only full-time newsroom
  • Relevant, up-to-date appraisal industry news
  • Covering the hottest stories and industry trends
NEWS BY TOPIC
NEWS BY EDITION
SPECIAL REPORTS
EVENTS
RESOURCES
FREE EMAIL UPDATES
ABOUT
SUBSCRIBE
Announcements
Conference Coverage
Cyberawareness
Industry News
Market Data
People on the Move
Technology
Trendsetters
The TRID Journey
Sponsored Content
Nominate a Trendsetter
What is Trendsetters
Current Edition
February 27, 2023
February 13, 2023
January 30, 2023
Archives
2023 State of the Industry
eClosing Security
2022 Title Technology Report
Real Estate Compliance Outlook
Best Practices
Attorney State Perspectives
Mergers and Acquisitions
Trendsetters
Archives
Nominate a Trendsetter
What is Trendsetters?
National Settlement
Services Summit (NS3)
Women's Leadership
Summit (WLS)
Webinars
Evolving Lender and Title
Relationships
2023 Economic Forecast Series
CFPB Unconstitutionally funded?
Manufactured Housing
Evolving Realtor Relationships
CFPB Update
Webinar Archives
Executive Interview Series
eClosing Solutions Showcase
Best Practices Provider Directory
Industry Partners
The Title Report
Contact Us
Social Media
Advertise
Are You An Expert?
Subscriber Agreement