Recent experiments have established the generality of superabundant vacancies (SAV) formation in metal hydrides. Aiming to elucidate this intriguing phenomenon and to clarify previous interpretations, we employ density-functional theory to investigate atomic mechanisms of SAV formation in fee hydrides of Ni, Cu, Rh, Pd, Ag, Ir, Pt, and Au. We have found that upon H insertion, vacancy formation energies reduce substantially. This is consistent with experimental suggestions. We demonstrate that the entropy effect, which has been proposed to explain SAV formation, is not the main cause. Instead, it is the drastic change of electronic structure induced by the H in the SAV hydrides, which is to a large extent responsible. Interesting trends in systems investigated are also found: ideal hydrides of 5d metals and noble metals are unstable compared to the corresponding pure metals, but the SAV hydrides are more stable than the corresponding ideal hydrides, whereas opposite results exist in the cases of Ni, Rh, and Pd. These trends of stabilities of the SAV hydrides are discussed in detail and a general understanding for SAV formation is provided. Finally, we propose an alternative reaction pathway to generate a SAV hydride from a metal alloy.