Almost half of St Louis County Homeowners With Mortgage Are Underwater or Nearly Underwater

Over 80,000 homeowners, or 27% of all homeowners with a mortgage,  in St Louis County are seriously underwater on their mortgage meaning the total balance of their mortgages represents 125% or more of the current value of their home.  In addition, there are 53,548 homeowners, or 18% of all homeowners with a mortgage,  in St Louis County that have mortgage balances between 90% and 110% of the value of their home, according to data just released by RealtyTrac.

As the table below shows, for the St Louis MSA, 21% of homeowners with a mortgage are underwater and 19% have “resurfacing equity” (mortgage balances equal 90% – 110% of the value of their home).  Of the 5-county core St Louis market, St Charles County has the lowest percentage of seriously underwater homeowners at 10% and St Louis County has the highest at 27%.

(We work hard on this and sure would appreciate a “Like”)

Find your home’s market value online in LESS THAN A MINUTE! 

Search all St Louis Homes For Sale HERE

Continue reading “Almost half of St Louis County Homeowners With Mortgage Are Underwater or Nearly Underwater

Fewer home owners are underwater on their homes according to Zillow report

Dennis Norman
Dennis Norman

The percent of American home owners with mortgages in a negative equity position fell to 21 percent in the third quarter of this year, down from 23 percent in the second quarter, as home values stabilized in the short term and more underwater homeowners lost their homes to foreclosure, according to the third quarter Zillow Real Estate Market Reports.

Year-over-year home values in the U.S. declined for the 11th consecutive quarter, falling 6.9 percent to a Zillow Home Value Index of $190,400. However, the rate of year-over-year decline shrank for the third quarter in a row, meaning home values did not decline as dramatically year-over-year in the third quarter as they did in the second or first quarters. Continue reading “Fewer home owners are underwater on their homes according to Zillow report

Almost thirty percent of mortgages in St. Louis are underwater

Dennis Norman
Dennis Norman

According to a report issued by First American CoreLogicmore than 15.2 million U.S. mortgages, or 32.2 percent of all mortgaged properties, are in a negative equity position. In addition, according to the CoreLogic report, there are an additional 2.5 million mortgaged properties that are approaching negative equity. Negative equity and near negative equity mortgages combined account for nearly 38 percent of all residential properties with a mortgage.

firstamerican corelogic
The numbers for St. Louis are a little better than the U.S. numbers. In St. Louis, 170,871, or 29.50 percent of all properties with a mortgage, are in negative equity. A total of 208,259 mortgages, or 35.95 percent, are in near negative equity or negative equity.
The total property value of the property in St. Louis that is at risk of default is over $26.5 billion. By comparison in Chicago there is $134 billion of property at risk of default and $310 billion in Los Angeles.
Negative equity, often referred to as “underwater” or “upside down”, means the borrower owes more on their mortgage than the home is worth. Near negative equity is when mortgages are within five percent of being in a negative equity position. Negative equity can occur because of a decline in value, an increase in mortgage debt or a combination of both.