Where Are America’s Empty Homes? New Data Reveals Surprising Trends in Housing Vacancies

Empty homes might seem like a simple side effect of real estate cycles, but vacancy rates can tell a much deeper story about the health of local economies, housing affordability, and supply and demand. According to a new LendingTree analysis of U.S. Census Bureau data, some U.S. states are seeing unusually high vacancy rates, while others are nearly full and the implications are significant.

Whether it’s seasonal homes sitting unused or properties stuck in limbo between owners or renters, America’s vacant homes paint a complicated picture of a shifting market.

Key Highlights:

• Highest vacancy rates: Maine (21.09%), Vermont (20.06%), and Alaska (18.24%)
• Lowest vacancy rates: Washington (7.42%), Oregon (7.46%), and Connecticut (7.54%)
• Vacancy rates dropped in every state except Washington, which ticked up slightly
• Home values and vacancy rates show strong correlation: States with lower vacancy rates tend to have higher median home prices

The Top 3: States With the Highest Vacancy Rates

The highest housing vacancy rates in the country are in states that also happen to attract seasonal or part-time residents. Maine leads the pack, with over 21% of its housing stock classified as vacant translating to approximately 157,000 unoccupied homes. Vermont and Alaska follow closely, with 67,000 and 59,000 vacant units, respectively.

While these numbers might sound alarming, it’s important to understand what “vacant” really means in this context. The Census Bureau includes seasonal-use properties, vacation homes, and transitional housing in its vacancy statistics homes that may only sit empty temporarily or are deliberately unoccupied for part of the year.

These three states account for roughly 285,000 of the estimated 15 million vacant homes nationwide.

Lowest Vacancy Doesn’t Mean Fewer Vacant Homes

On the flip side, Washington boasts the nation’s lowest vacancy rate at just 7.42%. But here’s the twist: it still has more vacant homes than high-vacancy Maine. That’s because Washington has a much larger housing inventory overall. Oregon and Connecticut also fall into this category, with similarly low vacancy percentages but high total numbers of empty homes.

This mismatch highlights how percentages can be misleading without the context of total housing stock.

National Trends: Slight Decline in Vacancy

Between 2022 and 2023, the overall U.S. vacancy rate fell by 0.36 percentage points. States like Wyoming, Alabama, and North Dakota saw the most significant drops, signaling tighter inventory and potentially rising demand in those areas.

Washington stood alone as the only state with a slight increase in its vacancy rate up just 0.05 percentage points. But given its already low rate, experts suggest this change is not cause for concern.

According to LendingTree’s Chief Consumer Finance Analyst Matt Schulz, the Federal Reserve’s rate hikes during 2022 and 2023 discouraged people from selling or relocating, pushing down vacancies as homeowners stayed put.

“Rising mortgage rates made homeowners less inclined to move, effectively locking many into their current homes,” Schulz explained.

More Vacant Homes, Lower Home Values?

There’s a clear economic link between vacancy rates and home values. States with the lowest vacancy rates had an average home value of more than $408,000, compared to just under $248,000 in high-vacancy states. This suggests that strong housing demand, which keeps vacancy rates low, also helps push up prices.

Higher-income states tend to attract buyers who are able to compete in tighter markets which further drives up home values while keeping inventory slim.

“When people earn more, they can afford to buy even in expensive areas,” Schulz said. “That demand helps keep homes occupied and values high.”

What This Means for Buyers and Renters

For renters and first-time buyers, high vacancy rates in places like Maine or Alaska could signal opportunities especially if prices begin to fall due to oversupply. But those opportunities often come with trade-offs: lower demand might reflect limited job markets, remote locations, or seasonal living patterns.

Meanwhile, in low-vacancy states, competition remains fierce. Fewer homes sitting empty often translates to bidding wars, higher prices, and limited options.

Bottom Line

Vacancy rates are more than a footnote in housing reports they offer real insight into regional market health, pricing power, and consumer opportunity. Whether you’re a buyer looking for value or an investor tracking market saturation, keeping an eye on where homes sit empty and why is a smart move.

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