(Bloomberg) – Recent data reveals that approximately 1 in 37 homes in the US are now classified as seriously underwater, with a higher concentration in southern states. This information was released on Thursday.
According to the first-quarter 2024 US Home Equity & Underwater Report from ATTOM, a real estate data firm, 2.7% of homes nationwide have loan balances exceeding 25% of their market value. This percentage has slightly increased from the previous quarter’s 2.6%.
Although the number of seriously underwater homes is rising, it is still significantly lower than pre-pandemic levels, which were more than double the current rate.
Homes can fall into the seriously underwater category when they are purchased at a high price or with a minimal downpayment that does not offer enough protection if the property depreciates in value.
Throughout the pandemic, government aid and escalating property values benefited homeowners, but the recent surge in interest rates aimed at controlling inflation could pose challenges…
2024-05-08 23:01:00
Read more on finance.yahoo.com