Is Everyone Still Underwater?
Listening to the national news media, the state of the housing market is week by week either improving or still really weak. The truth is that different markets across the country are in various stages of recovery.
The percentage of homes with negative equity (value of the home is less than the mortgage) is seen as one indicator of the health of the housing market. Below is a map showing negative equity by state for the third quarter of 2011.
There are 10 states most heavily impacted by “negative equity” are FL, AZ,NV, GA, IL, OH, MI, VA, ID, and RI. These states have at least 20% of their homes under water. Nevada, Florida and Arizona have the highest levels.
Housing is local. States have different rules for handling foreclosures. Some are judicial and some are not. Some states had values that exploded far greater than others during the housing bubble and are now suffering more. Some had more moderate growth in values and so were not as impacted as much.
If you’re making a decision about buying or selling real estate this year, consult your local real estate professional rather than the nightly news. If you are looking to to buy or sell in Chicago or the south/southwest suburbs, I would love to work with you. Just give me a call or email.
Millie C Lumpkin, SFR
Phone: (312) 217-5644