Rising Home Values = Rising Home Equity = Less Underwater Homeowners

by Alex Stenback on September 10, 2013

Real Estate Research firm CoreLogic solves a baffling (2 + 2 = ?) equation for us by illustrating the fact that rising home values lead to less people with negative equity (a gentle, sanitary euphemism for owing your lender more than your home is worth.)

Jim Buchta at the Strib gets the local angle – which is solidly average as compared to national numbers:

“Here’s the local and national breakdown of that second-quarter data:

    • Average loan to value: Minnesota: 65.%, U.S.: 62.5%
    • Equity share: Minnesota: 87.5%, U.S.: 85.5%
    • Those in negative equity: 126%, U.S.: 14.5%
    • Near negative equity 95-100% LTV): 4%, U.S.: 4.3%”
Good news of course, but you already knew that.

 

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