Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Millions of 'underwater' homeowners are trapped
CNBC ^ | 3- 17 -2015 | Diana Olick

Posted on 03/17/2015 9:38:51 PM PDT by george76

Some 5.4 million homes, or 10.4 percent of all homes with a mortgage, were still in a negative equity position, or "underwater," in the fourth quarter of 2014, according to CoreLogic, as their owners owe more on the mortgage than the home is currently worth. This is down considerably —18.9 percent, from a year ago—but it still keeps these borrowers from putting their homes on the market, because they would lose money. ..

Additionally, of the 49.9 million U.S. homes with a mortgage, approximately 10 million (20 percent) have less than 20 percent equity, and 1.4 million have less than 5 percent, according to CoreLogic. These homeowners also would have a difficult time selling because not only would they lose money in the process, but they also might not qualify for a new mortgage.

(Excerpt) Read more at cnbc.com ...


TOPICS: Business/Economy; Extended News; News/Current Events; US: Colorado
KEYWORDS: homeowners; housing; mortgage; mortgages; underwater
Navigation: use the links below to view more comments.
first previous 1-20 ... 41-6061-8081-100101-105 next last
To: rlmorel

Same here...Even went through some tough runs around 2008 and few other bumps through 2012. All I had to do was pick up the phone and call my lender; we always worked something out that all parties were satisfied and the loan continued on.
I am thankful I didn’t buy a home outside my means; I would have lost it had I trusted the realtor and finance guy that said I could afford twice the amount of home...Dodged a bullet on that one.


81 posted on 03/18/2015 6:18:03 AM PDT by Ghost of SVR4 (So many are so hopelessly dependent on the government that they will fight to protect it.)
[ Post Reply | Private Reply | To 47 | View Replies]

To: Ken H

I’m with you—I love 4 seasons.

I detest heat and would prefer cold all year over warm all year.

.


82 posted on 03/18/2015 6:27:08 AM PDT by Mears (To learn who rules over you, simply find out who you are not allowed to criticize."Voltaire))
[ Post Reply | Private Reply | To 25 | View Replies]

To: Alberta's Child

I agree that is a problem, and I sympathize with those people as well...


83 posted on 03/18/2015 6:33:15 AM PDT by rlmorel ("National success by the Democratic Party equals irretrievable ruin." Ulysses S. Grant)
[ Post Reply | Private Reply | To 68 | View Replies]

To: Ray76

You just don’t get it do you?

Those that are “trapped” are those who are continuing to pay their mortgages but cannot sell or refinance or move because of the “value” of their house as compared to their loan balance.

The taxpayers have ALREADY bailed out all the scum...they got all the bennies offered up in the past few years to refinance if they were covered by FM or Freddie Mac...the rest are stuck.


84 posted on 03/18/2015 6:40:42 AM PDT by SZonian (Throwing our allegiances to political parties in the long run gave away our liberty.)
[ Post Reply | Private Reply | To 80 | View Replies]

To: george76

Get ready to buy Democrat votes.


85 posted on 03/18/2015 6:42:30 AM PDT by bmwcyle (People who do not study history are destine to believe really ignorant statements.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Ray76
And don’t expect taxpayers to bail you out.

Yes, but we've already established that the taxpayers will bail out the company that holds your mortgage. Please feel free to take that into account when making your decision.

86 posted on 03/18/2015 6:45:38 AM PDT by Eric Pode of Croydon (I wish someone would tell me what "diddy wah diddy" means.....)
[ Post Reply | Private Reply | To 80 | View Replies]

To: Mr. Jeeves
it's quite remarkable how many "entrepreneurial" pursuits these days are nothing but scams

Too damned true.

87 posted on 03/18/2015 6:46:30 AM PDT by Eric Pode of Croydon (I wish someone would tell me what "diddy wah diddy" means.....)
[ Post Reply | Private Reply | To 78 | View Replies]

To: SZonian

two wrongs make a right. got it


88 posted on 03/18/2015 7:29:07 AM PDT by Ray76 (Obama says, "Unlike my mum, Ruth has all the documents needed to prove who Mark's father was.")
[ Post Reply | Private Reply | To 84 | View Replies]

To: SZonian

I “get it” entirely. I saw the huge run-up, the “irrational exuberance”, in housing for what it was: a bubble.


89 posted on 03/18/2015 7:31:52 AM PDT by Ray76 (Obama says, "Unlike my mum, Ruth has all the documents needed to prove who Mark's father was.")
[ Post Reply | Private Reply | To 84 | View Replies]

To: All
casablanca shocked photo: Casablanca casablanca.jpg
90 posted on 03/18/2015 7:43:56 AM PDT by Prov1322 (Enjoy my wife's incredible artwork at www.watercolorARTwork.com! (This space no longer for rent))
[ Post Reply | Private Reply | To 87 | View Replies]

To: Catmom
Nah, it’s better to just walk away and leave your neighbors with the eyesore abandoned house and the lowered property values.

That's what happened in my old neighborhood. Property values there still stink, and are well below similar areas in other parts of town, while other neighborhoods in the same town are recovering nicely. It was a heavily blue-collar area and a lot of folks here lost their jobs. I can think of one house that's just sitting empty, and has been for more than two years. No buyers, even at prices lower than dropping a manufactured home on the same sized lot in the same area.

91 posted on 03/18/2015 7:44:28 AM PDT by IYAS9YAS (Has anyone seen my tagline? It was here yesterday. I seem to have misplaced it.)
[ Post Reply | Private Reply | To 8 | View Replies]

To: Sioux-san
What again did the Enron boys do to deserve jail time yet Jon Corzine et.al. walks the streets.

They were from Texas and supported Republicans.

92 posted on 03/18/2015 8:34:09 AM PDT by SkyPilot ("I am the way and the truth and the life. No one comes to the Father except through me." John 14:6)
[ Post Reply | Private Reply | To 15 | View Replies]

To: rlmorel

Ok, then we are in agreement


93 posted on 03/18/2015 8:34:59 AM PDT by Mastador1 (I'll take a bad dog over a good politician any day!)
[ Post Reply | Private Reply | To 50 | View Replies]

To: Mears
I’m with you—I love 4 seasons. I detest heat and would prefer cold all year over warm all year.

Me too. I know several people who thought their chosen retirement locale would be Paradise. After one summer in a muggy or desert state, they had had enough and moved again.

94 posted on 03/18/2015 8:38:32 AM PDT by SkyPilot ("I am the way and the truth and the life. No one comes to the Father except through me." John 14:6)
[ Post Reply | Private Reply | To 82 | View Replies]

To: Mears
I’m with you—I love 4 seasons. I detest heat and would prefer cold all year over warm all year.

Me too. I know several people who thought their chosen retirement locale would be Paradise. After one summer in a muggy or desert state, they had had enough and moved again.

95 posted on 03/18/2015 8:38:32 AM PDT by SkyPilot ("I am the way and the truth and the life. No one comes to the Father except through me." John 14:6)
[ Post Reply | Private Reply | To 82 | View Replies]

To: Gaffer

When the Government forced the Banks to Loan Money because the so called Playing Field wasn’t level, all bets were off.

I worked for a Major Bank back in the 70’s that had very strict Lending Guidelines in place. When The Community Reinvestment Act was instituted under Carter, the Bank pledged $10,000,000,000 to the Program.

I was talking to a Loan Office about it and he said that it was great Advertising, but many Loan Officers expected the Program to impact Loan Delinquency Rates since the Lending Guidelines were artificially lowered.

It was obvious from the get go. Reparations cost big bucks.


96 posted on 03/18/2015 8:46:52 AM PDT by Kickass Conservative (Advertising Space Available here.)
[ Post Reply | Private Reply | To 63 | View Replies]

To: 9thLife
Too bad Obama can’t run for a third term and therefore buy yer votes with a bailout, eh?

Don't give him any ideas ...

97 posted on 03/18/2015 9:15:05 AM PDT by 11th_VA (where's Brutus?)
[ Post Reply | Private Reply | To 45 | View Replies]

To: george76

The FED is culpable in this mess as well - when they began raising interests rates, all those Adjustable Rate mortgages that were used to get ‘low income’ buyers in the market went south when the ‘Low Income’ buyers couldn’t make payments ...


98 posted on 03/18/2015 9:18:07 AM PDT by 11th_VA (where's Brutus?)
[ Post Reply | Private Reply | To 1 | View Replies]

To: george76

Millions of homeowners should not have made stupid purchases - and lenders should not have made stupid loans. Neither mistake is my problem. FedGov and the states should enforce contract law, but they should not subsidize stupid decisions.


99 posted on 03/18/2015 9:19:59 AM PDT by Pollster1 ("Shall not be infringed" is unambiguous.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: P-Marlowe

If you are in that situation, and can do so, that is the preferred option.

If you lose your job or get transferred, you are screwed.


100 posted on 03/18/2015 9:26:01 AM PDT by redgolum ("God is dead" -- Nietzsche. "Nietzsche is dead" -- God.)
[ Post Reply | Private Reply | To 3 | View Replies]


Navigation: use the links below to view more comments.
first previous 1-20 ... 41-6061-8081-100101-105 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson