Thursday, March 1, 2012

22.8% of Mortgages Are Greater Than Their Property's Market Value

According to CoreLogic, 22.8% of all properties with mortgages have house values greater than their mortgage balances.

CoreLogic® Reports 22.8% of Mortgages in Negative Equity

CoreLogic released negative equity data showing that 11.1 million, or 22.8 percent, of all residential properties with a mortgage were in negative equity at the end of the fourth quarter of 2011. This is up from 10.7 million properties, 22.1 percent, in the third quarter of 2011. An additional 2.5 million borrowers had less than five percent equity, referred to as near-negative equity, in the fourth quarter. Together, negative equity and near-negative equity mortgages accounted for 27.8 percent of all residential properties with a mortgage nationwide in the fourth quarter, up from 27.1 in the previous quarter. Nationally, the total mortgage debt outstanding on properties in negative equity increased from $2.7 trillion in the third quarter to $2.8 trillion in the fourth quarter.

Read the report here: