The Role of Vacant Homes in Alleviating Housing Shortages

Why Vacant Homes Matter in Today’s Market

If there’s one thing I’ve learned in my years working in real estate, it’s that no home should sit empty for too long. Homes are meant to be lived in, to provide stability, security, and a sense of place for individuals and families. Yet, here in Pasadena and the San Gabriel Valley, we have countless properties sitting vacant—some for years—while buyers and renters struggle to find a place to call home.

I recently worked with an overseas client who had purchased a gorgeous home in San Marino in 2022. It sat empty for two years, not because they wanted it that way, but because they weren’t sure what to do with it. They weren’t ready to sell, but managing a rental property from thousands of miles away felt overwhelming. After talking through their options, we found them a fantastic tenant, and now that house isn’t just sitting there—it’s being lived in, loved, and maintained, all while bringing in steady rental income for the owner.

This experience got me thinking: How many other homes in our area could be put to better use?

Why Do Homes Sit Vacant?

There are plenty of reasons why homes remain empty, even when demand is sky-high. Some of the most common I see include:

1. Investment Properties Without a Plan

Some people buy properties purely as investments, hoping they’ll appreciate. But without a clear strategy—whether it’s renting it out or flipping it—these homes often sit vacant. Many owners hesitate to deal with tenants, but in reality, an empty home costs money in property taxes, maintenance, and missed opportunities.

2. Out-of-State or Overseas Owners

Southern California attracts plenty of international and out-of-state buyers who purchase homes as second residences or long-term investments. Sometimes they visit once or twice a year, but often, these homes stay vacant indefinitely. It’s understandable—managing a rental from another country or state isn’t easy—but there are ways to make it work, as I’ve seen firsthand.

3. Properties in Legal or Family Disputes

I’ve worked with families who inherit homes and can’t agree on what to do with them. Selling is one option, but sometimes one family member wants to keep the home while others want to cash out, leading to delays and indecision. Meanwhile, the house sits empty, collecting dust instead of value.

4. Owners Waiting for the "Perfect" Market

A lot of homeowners think they’ll sell when the market “gets better.” But the reality is, while waiting, the home isn’t doing anything for them—or for the community. Renting it out in the meantime can be a great middle ground.

How Vacant Homes Affect the Local Market

A vacant home isn’t just a lost opportunity for the owner—it affects the entire neighborhood. Empty homes can make an area feel deserted, and in some cases, they even attract vandalism or squatters.

More importantly, every home that sits empty means fewer housing options for those who need them. Here in Pasadena and the San Gabriel Valley, we’re already dealing with limited inventory and rising home prices. If even a fraction of our vacant homes were sold or rented out, we could ease some of the pressure on the housing market and help more people find stable housing.

Options for Vacant Homeowners

If you own a vacant home and aren’t sure what to do with it, you have two great options: renting it out or selling. Both have their advantages, depending on your long-term plans.

1. Renting Out Your Home

If you’re not ready to part with your home but don’t want it sitting empty, renting can be a great solution.

Why Renting Works:

• Consistent Income: Even a modest rental rate can cover your property taxes, maintenance, and HOA fees.

• Better Maintenance: Homes that are lived in stay in better shape than those sitting empty.

• Flexibility: You can rent out your home on a long-term or short-term basis depending on your goals.

I’ve helped many owners successfully rent out their properties—including my overseas client in San Marino—and they were relieved to see how seamless the process can be with the right support.

2. Selling to an Active Buyer

If you don’t want the hassle of managing a rental, selling may be the best move. And with Pasadena and the San Gabriel Valley seeing continued demand, now is a great time to find serious buyers.

Why Selling Now Makes Sense:

• High Demand: Buyers are looking for homes, and inventory is low.

• Competitive Offers: With fewer options available, well-presented homes are selling quickly.

• Less Time on Market: Well-priced homes in good condition are moving fast.

How to Get Started

If you have a vacant home and aren’t sure what to do next, here’s what I recommend:

1. Clarify Your Goals: Do you want steady rental income, or are you ready to sell?

2. Get a Market Analysis: A real estate expert (like me!) can help determine what your home could rent or sell for.

3. Decide on Management: If you’re renting, choose between managing it yourself or hiring a property manager.

4. Prepare Your Home: Even small updates can make a huge difference in attracting buyers or tenants.

5. Take Action: The worst thing you can do is let your home sit empty indefinitely.

Final Thoughts: Putting Homes to Good Use

At the end of the day, a home should be lived in, not left vacant. Whether you rent or sell, putting your property to use is good for you, good for the market, and good for the community.

If you have a vacant home and aren’t sure what your next steps should be, let’s talk. I’ve helped many homeowners navigate their options, and I’d love to help you too. Let’s turn that empty house into an opportunity!