Wednesday, November 25, 2009

Nearly 11 Million U.S. Homes Underwater

Some experts say the housing market has bottomed, but one statistic indicates otherwise.

The portion of U.S. homeowners who are “underwater” on their loans — that is, they owe more on the mortgage than the home is worth — surged to 23 percent in the third quarter, or almost 10.7 million households, according to First American CoreLogic, a real estate research firm.

Many of the underwater homes will end up in foreclosure or on the already bulging market of homes for sale.

Of the 10.7 million homes underwater, nearly half have a mortgage that is at least 20 percent higher than the home’s value, according to First American.

More than 520,000 of these homeowners are in default on their mortgages. (more)

No comments:

Post a Comment