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1.4 Million Homeowners Moved From Negative Equity to Positive Equity Position in First Nine Months of 2012

dennis-norman-realtorAccording to a report from CoreLogic®, 100,000 homeowners moved into a positive equity position during the third quarter of 2012 bringing the total number of borrowers moving into positive equity for the first three quarters to 1.4 million.  Even with this number of borrowers improving their equity position it still left 22 percent of the homeowners in the U.S. with a mortgage underwater, or owing more on their mortgages than their homes are worth. number-of-homeowners-with-negative-equity-or-underwater-on-mortgage Highlights of the report for the 3rd quarter of 2012:

  • Nevada had the highest percentage of mortgaged properties in negative equity at 56.9 percent, followed by Florida (42.1 percent), Arizona (38.6 percent), Georgia (35.6 percent) and Michigan (32 percent). These top five states combined account for 34 percent of the total amount of negative equity in the U.S.
  • Of the total $658 billion in aggregate negative equity, first liens without home equity loans accounted for $323 billion aggregate negative equity, while first liens with home equity loans accounted for $334 billion.
  • 6.6 million upside-down borrowers hold first liens without home equity loans. The average mortgage balance for this group of borrowers is $214,000. The average underwater amount is $49,000.