The UNDERWATER Mortgage Rate

According to today's Wall Street Journal, about 1 out of every 6 U.S. homeowners now owe MORE money on his/her Mortgage THAN the current Market Value of his/her home.

There are about 75.5 million homeowners in the United States (approx 25% of the country's population)...12 million or 16% of these homeowners are now 'underwater' on their mortgages. About 33% of total homeowners (24 million homeowners) own their homes outright or without debt.

In 2006, the underwater mortgage rate was 4%.

In 2007, the underwater mortgage rate was 6%.


* According to the First American Index, U.S. home prices peaked in mid-2006, after rising 86% since January 2000. Since peaking, the index has fallen 13%.


http://www.msnbc.msn.com/id/27089919/


Data Courtesy: The Wall Street Journal