More than 300,000 empty lots for sale could close America's housing shortage by 6%
Building one home on each empty lot listed for sale on Zillow would reduce the national housing deficit to 4.44 million homes
- A housing shortage of 4.7 million homes is the key driver of America's housing affordability crisis.
- 300,242 empty lots smaller than 5 acres were listed for sale on Zillow in June 2026, representing 17.4% of all for-sale listings. Building one home on each of those lots would reduce America's housing deficit by 6.3%.
- Zillow is participating in a federal tech sprint to find ways to reduce friction for rural buyers looking to build on an empty lot.
SEATTLE, July 21, 2026 /PRNewswire/ -- America's housing affordability crisis is largely a supply problem, with the country currently being 4.7 million homes short of what is needed. If one home were built on every empty lot listed for sale, that shortage would shrink by more than 6%, new Zillow® research finds.
More than 300,000 empty lots 5 acres or smaller were listed for sale on Zillow in June, making up 17.4% of all for-sale listings. Building just one home on each of those lots would bring the total housing deficit down to roughly 4.44 million homes, a 6.3% reduction from the latest estimate. The typical lot for sale is 0.57 acres — large enough, in many cases, to support more than one home, meaning the 6.3% figure is conservative.
"The more than 300,000 lots currently listed for sale represent the lowest-hanging fruit in addressing a housing shortage that's two decades in the making," said Kara Ng, senior economist at Zillow. "The challenge is making it feasible to build. Loosening zoning rules, streamlining permitting and expanding access to financing would reduce the cost and uncertainty that hold construction back, turning available lots into much-needed homes. The ROAD to Housing Act is an encouraging sign that policymakers understand what it will take to close the gap, but some of this reform will need to happen at the state and local levels."
Where the empty lots are
The five states with the most empty lots listed are Florida (42,601), Texas (40,907), California (18,508), North Carolina (14,226) and Georgia (10,334). In states such as North Dakota, South Dakota and Alaska, empty lots make up more than one-third of all for-sale listings — 45.9%, 38.7% and 34.6%, respectively.
Rural markets have the highest concentration of empty lots, at 25.3% of all for-sale listings, compared to 13.6% in the suburbs and 9% in urban areas. Rural lots are also the least expensive on a per-acre basis with a median of roughly $75,000 per acre, compared to more than $181,000 per acre in suburban areas and about $500,000 per acre for urban lots.
Clearing the path to more homes
Closing a gap this large requires solutions that address the problem from multiple angles. Zillow advocates for measures that make it easier and less expensive to build, such as modernizing zoning to allow more density, streamlining permitting, expanding financing options and expanding access to lower-cost housing options like manufactured homes. Manufactured homes are particularly well-suited to helping close this gap, as they can be built faster and at a fraction of the cost of traditional, site-built construction. Recent legislation, including the 21st Century ROAD to Housing Act, is already addressing some of those barriers.
One hurdle for buyers interested in these lots is navigating a fragmented process — finding land, selecting a home type and securing financing are typically three separate and confusing steps. Zillow is working to change that through innovative solutions. This summer, the company has been participating in a 12-week federal tech sprint with the U.S. Census Bureau's Opportunity Project; its focus is on finding ways to increase access to small-dollar housing loans in rural communities. Zillow is exploring ways to reduce frictions for consumers who are interested in purchasing and building on an empty lot.
State |
Empty lots |
Share of |
Median |
Median price |
United States |
300,242 |
17.4 % |
0.57 |
$79,000 |
Alabama |
7,651 |
20.2 % |
0.75 |
$70,900 |
Alaska |
1,131 |
34.6 % |
1.24 |
$90,000 |
Arizona |
8,131 |
16.2 % |
1.03 |
$90,000 |
Arkansas |
6,621 |
25.1 % |
0.50 |
$38,000 |
California |
18,508 |
16.8 % |
0.63 |
$73,000 |
Colorado |
6,284 |
13.9 % |
0.97 |
$125,000 |
Connecticut |
425 |
7.6 % |
1.26 |
$150,000 |
Delaware |
462 |
9.2 % |
0.75 |
$252,500 |
Florida |
42,601 |
18.1 % |
0.26 |
$49,000 |
Georgia |
10,341 |
14.1 % |
1.00 |
$84,900 |
Hawaii |
1,411 |
16.9 % |
1.00 |
$100,000 |
Idaho |
3,175 |
19.3 % |
0.98 |
$215,000 |
Illinois |
6,668 |
22.2 % |
0.43 |
$49,990 |
Indiana |
4,124 |
15.0 % |
0.43 |
$69,900 |
Iowa |
4,145 |
25.0 % |
0.39 |
$85,900 |
Kansas |
2,018 |
19.4 % |
0.44 |
$58,500 |
Kentucky |
4,370 |
20.1 % |
0.87 |
$49,900 |
Louisiana |
9,159 |
29.5 % |
0.50 |
$68,000 |
Maine |
1,231 |
15.7 % |
1.80 |
$94,900 |
Maryland |
1,676 |
8.7 % |
0.75 |
$125,000 |
Massachusetts |
846 |
6.2 % |
1.17 |
$225,000 |
Michigan |
8,597 |
21.5 % |
0.59 |
$55,000 |
Minnesota |
4,962 |
19.3 % |
0.58 |
$85,000 |
Mississippi |
4,273 |
24.7 % |
0.69 |
$53,625 |
Missouri |
5,607 |
18.6 % |
0.50 |
$60,000 |
Montana |
2,395 |
21.3 % |
0.83 |
$195,000 |
Nebraska |
2,773 |
30.4 % |
0.27 |
$79,941 |
Nevada |
2,869 |
15.5 % |
0.72 |
$69,000 |
New Hampshire |
573 |
12.6 % |
1.23 |
$129,900 |
New Jersey |
1,352 |
6.5 % |
0.49 |
$209,950 |
New Mexico |
4,293 |
30.3 % |
1.00 |
$50,000 |
New York |
3,554 |
8.1 % |
0.78 |
$99,900 |
North Carolina |
14,226 |
18.2 % |
1.02 |
$79,900 |
North Dakota |
2,023 |
45.9 % |
0.40 |
$70,000 |
Ohio |
4,313 |
13.0 % |
0.46 |
$74,900 |
Oklahoma |
5,723 |
19.9 % |
0.84 |
$59,900 |
Oregon |
3,745 |
16.1 % |
0.51 |
$159,000 |
Pennsylvania |
6,511 |
18.3 % |
0.38 |
$49,299 |
Rhode Island |
159 |
9.0 % |
0.86 |
$325,000 |
South Carolina |
5,547 |
12.2 % |
0.77 |
$95,000 |
South Dakota |
2,466 |
38.7 % |
0.50 |
$100,000 |
Tennessee |
9,748 |
17.9 % |
0.85 |
$74,900 |
Texas |
40,907 |
16.2 % |
0.52 |
$97,000 |
Utah |
3,553 |
15.7 % |
0.67 |
$283,860 |
Vermont |
382 |
11.7 % |
1.70 |
$123,000 |
Virginia |
4,843 |
14.9 % |
1.00 |
$74,500 |
Washington |
5,563 |
13.9 % |
0.50 |
$180,000 |
West Virginia |
1,685 |
26.2 % |
0.94 |
$41,700 |
Wisconsin |
5,372 |
23.8 % |
0.64 |
$84,900 |
Wyoming |
1,167 |
24.4 % |
0.54 |
$110,000 |
About Zillow Group
Zillow Group, Inc. (Nasdaq: Z and ZG) is reimagining real estate to make home a reality for more and more people.
As the most visited real estate app and website in the United States, Zillow connects hundreds of millions of consumers with innovative technology, trusted agents and loan officers, and seamless digital solutions. With industry-leading tools and resources, Zillow supercharges real estate professionals so they can grow their businesses and deliver exceptional client experiences. For renters and housing providers, Zillow offers not only a robust marketplace but a set of end-to-end products and services to streamline applications, leases, payments and more.
Zillow's ecosystem spans the entire home journey — from dreaming and shopping to renting, buying, selling and financing.
Zillow Group's affiliates, subsidiaries and brands include Zillow®, Zillow Premier Agent®, Zillow Home Loans®, Zillow Rentals®, Zillow® New Construction, Trulia®, StreetEasy®, Out East®, HotPads®, Follow Up Boss®, ShowingTime®, dotloop® and Zillow® Closing.
All marks herein are owned by MFTB Holdco, Inc., a Zillow affiliate. Zillow Home Loans, LLC is an Equal Housing Lender, NMLS #10287 (www.nmlsconsumeraccess.org). © 2026 MFTB Holdco, Inc., a Zillow affiliate.
(ZFIN)
SOURCE Zillow
Share this article