Homes in the U.S. that were in the foreclosure process increased 4.8% during the second quarter of 2025 compared to the first three months of the year. It marked the first time in the past five quarterly periods that the number of properties under foreclosure went up, according to a report released Thursday by Attom.
However, Attom found that the number of so-called “zombie homes” — homes that were abandoned by owners during the foreclosure process and sit vacant — was unchanged from the first quarter.
About 1.4 million residential properties are abandoned, which represents around 1.3% of homes in the U.S. That’s up 2.9% year over year, though it is well below levels seen in the aftermath of the 2008 financial crisis, according to Attom CEO Rob Barber.
“Thankfully, we’re not seeing a lot of homes sitting vacant due to pending foreclosures, which is good for families, neighborhoods and the market,” Barber said in a press release. “However, foreclosure filings have shown a recent uptick, with April seeing a 14% increase compared to the same month last year.”
While the April rise in foreclosure filings is concerning, Barber said a positive sign for the housing market is that the homes are selling rapidly once they have been repossessed.
“So far, buyers seem to be scooping up these repossessed homes relatively quickly, so they aren’t sitting empty.” Barber noted. “Nobody wants to see a return to the days of the 2008 housing crisis when vacant, blighted homes were common in many parts of the country.”
