Posts Tagged ‘negative equity’

A Tale of Two Hurricanes: Equity Disparity in Harvey/Irma Housing Markets

Posted on October 03, 2017 by Laura Lam

The majority of borrowers impacted by Hurricane Harvey have a significant amount of equity, while about 350,000 in Hurricane Irma disaster areas have either limited or negative equity, according to Black Knight Financial Services.  Less than 0.5% of borrowers impacted by Hurricane Harvey were in negative equity positions before the storm hit, and less than 4% have below 10% equity.  In contrast, of borrowers in counties impacted by Hurricane Irma, 5.3% still owe more than the value of their home, and an additional 5.6% have less than 10% equity.  Nationwide, 1.4 million borrowers, or 2.8% of homeowners with mortgages, had negative equity in…

Homeowners Continue to Regain Equity

Posted on September 27, 2017 by Laura Lam

Homeowners with mortgages saw an overall gain of $766 billion in their home equity during the second quarter from the year-ago period, or an increase of 10.6%, according to the second-quarter home equity analysis released by CoreLogic.  On average, the year-over-year gain is $12,987 for each homeowner. The biggest increases were seen in Western states as higher home prices drove equity gains. Homeowners in Washington saw average home equity gains of about $40,000, while California homeowners gained an average of $30,000 in home equity. The quarter also posted a year-over-year decrease in the number of homes with negative equity. During the period, 2.8 million homes – representing…

Negative Equity Continues Slow & Steady Decline

Posted on July 31, 2017 by Laura Lam

The U.S. negative equity rate – the share of all homeowners with a mortgage that are underwater, owing more on their home than it is worth – fell to 10.4% in the first quarter of 2017, the 20th straight quarterly decline. But the speed at which negative equity is falling has slowed dramatically. The national negative equity rate fell from 10.5% at the end of 2016 and 12.7% in Q1 2016, leaving slightly more than 5 million Americans with a mortgage underwater. The rate is down substantially from its peak of 31.4% in Q1 2012, when more than 15.7 million Americans…

Homeowner Equity On the Rise

Posted on June 15, 2017 by Laura Lam

Homeowner equity increased significantly in the first quarter of 2017, according to the Q1 2017 home equity analysis from CoreLogic.  Homeowners with a mortgage, about 63% of all homeowners, saw their equity increase by 11.2% for a total of $766.4 billion since the first quarter last year. The average homeowner gained about $13,400 in equity over the last year. The total number of mortgaged residential properties with negative equity decreased 3% from the fourth quarter to 3.1 million homes, or 6.1% of all mortgaged properties. This is a drop of 24% from 4.1 million homes in the first quarter last year….

Homeowners See Equity Rise 11%

Posted on December 14, 2016 by Laura Lam

The amount of equity homeowners hold grew by $726 billion, or 10.8%, in the third quarter of 2016 versus the year before, according to data from CoreLogic.  On a quarterly basis, the equity in residential properties secured by mortgages rose by $227 billion, or 3.1%, CoreLogic reported.  The increase pulled 384,000 borrowers out of negative equity. Altogether, 93.7% of all mortgaged properties are now in positive equity. The rise in home equity was mainly the result of price appreciation. “Home equity rose by $12,500 for the average homeowner over the last four quarters,” said Frank Nothaft, chief economist for CoreLogic….

Making Gains: Rising Values Help Underwater Homeowners

Posted on October 07, 2016 by Laura Lam

About 548,000 U.S. homeowners regained equity in the second quarter, bringing the percentage of homes with positive equity to 92.9% of all mortgaged properties, or approximately 47.2 million homes, according to CoreLogic.  Nationwide, home equity increased by $646 billion, or 9.9%, from the end of the second quarter of 2015 to the end of the second quarter of 2016. Although about 3.6 million homes – or 7.1% of all homes with a mortgage – remained in negative equity, this was, nevertheless, a decrease of 13.2% compared with 4.2 million homes, or 8.2%, in the first quarter and a decrease of…

Some Cities Still Drowning in Underwater Mortgages

Posted on September 21, 2016 by Laura Lam

More than 1 in 10 U.S. homeowners remain underwater on their mortgages.  This number is much less than a year ago and far lower than when the housing bubble burst in 2008 which left nearly a third in negative equity. But in some metros, the share of underwater homes is far higher in urban than suburban areas, reports Zillow. Even as the number of underwater homes keeps plunging nationwide, pockets of negative equity persist in some of the country’s largest metropolitan areas – primarily in the East and Midwest. Places like Cleveland, Detroit, Chicago and Philadelphia remain freighted with underwater homes…

Low-Priced Homes Still Struggle With Negative Equity

Posted on April 05, 2016 by Laura Lam

While the percentage of properties with negative equity decreased during 2015, the lowest-priced homes continued to struggle to regain value, according to Black Knight Financial Services.  The number of underwater borrowers dropped by 31%, or 1.5 million homeowners, but there are still a total of 3.2 million borrowers in negative equity positions, representing $126 billion in underwater first- and second-lien housing debt, Black Knight said in its year-to-year Mortgage Monitor Report for February. As negative equity rates continue to improve on the national level and are now at 6.5%, for homes in the lowest-price tier they are at 16.2%, revealing…

Number of Seriously Underwater Homes Rises

Posted on May 01, 2015 by Saldutti

The share of seriously underwater homeowners increased 0.4 percentage points from fourth quarter 2014, and while it is only a slight increase, it marks the first quarterly increase since the second quarter of 2012, according to the latest RealtyTrac Home Equity and Underwater 1Q report.  However, this is still down more than four percentage points from a year ago. “At the end of 2014 we saw the lowest share of seriously underwater properties since we began tracking such data, but in the first quarter that share bumped up slightly as home price appreciation continued to slow down in many markets,”…

Over 40 Million Modified Mortgages are Underwater

Posted on June 19, 2014 by Saldutti

More than 40% of the 2 million recently modified mortgages facing interest-rate resets are underwater, according to data released Monday by Black Knight Financial Services. By comparison, the firm’s analysis of April mortgage performance showed that the national negative equity rate was 9.4%. “We have seen a continual reduction in the number of underwater borrowers at the national level for some time now, but modified loans show a different picture,” said Kostya Gradushy, manager for loan data and customer analytics. “Given that the data has shown quite clearly that equity—or the lack thereof – is one of the primary drivers…