The rate of vacant “zombie” foreclosures increased to a three-year high in the third quarter of 2020, according to ATTOM Data Solutions. But a backlog of seriously delinquent mortgages may mean more vacancies in the future.
“Properties are lingering in foreclosure limbo longer because of the nationwide foreclosure moratoria on government-backed mortgages that have now been extended through the end of the year,” said Daren Blomquist, Auction.com VP of Economics. “This increases the chances that properties in foreclosure will end up vacant or abandoned.”
But there is good news, including a rise in price execution for vacant REOs. Watch the latest episode of Disposition Download to learn how buyers are responding.