New study reveals which states are struggling most
More than 5.5 million US homes are underwater, representing 10.5% of all homes with a mortgage.
ATTOM Data Solutions says that while many of the hottest housing markets have seen the share of underwater homes drop, there are some markets that are still struggling to recover from the financial crisis.
Meanwhile, 24.5% of all US homes with a mortgage are now equity rich, with loans secured on them less than 50% of their estimated market value. The analysis says 13.6 million homes are in this position.
"The share of seriously underwater properties has dropped well below 10% in bellwether housing markets such as California, Washington, Texas, Colorado and New York, but the underwater rate remains stubbornly high in markets where price appreciation has not been as strong during the housing recovery of the last six years," said Daren Blomquist, senior vice president with ATTOM Data Solutions.
The lack of uniformity of recovery across the nation means that, although there are now more than twice as many equity rich homes than those that are seriously underwater, the gap between the two is widening.
Which states have the highest share of underwater homes?
States with the highest share of seriously underwater properties were Louisiana (21.7%); Illinois (18.5%); Missouri (17.8%); Mississippi (16.8%); and Ohio (16.2%).
The metros analyzed with the highest share of seriously underwater properties were Baton Rouge, Louisiana (21.0%); Toledo, Ohio (20.0%); Scranton, Pennsylvania (19.6%); Youngstown, Ohio (19.3%); and New Orleans, Louisiana (18.9%).
Which states have the highest share of equity rich homes?
States with the highest share of equity rich properties were California (43.5%); Hawaii (38.3%); Washington (34.5%); New York (33.2%); and Oregon (32.8%).
The metros with the highest share of equity rich properties were San Jose, California (71.9%); San Francisco, California (60.8%); Los Angeles, California (47.9%); Seattle, Washington (41.1%); and San Diego, California (40.0%).
