Underwater homes in Miami-Dade are drying out: report

Miami /
Mar.March 10, 2016 03:00 PM

Despite Miami-Dade County having more underwater home loans than anywhere else in the nation, the county’s rate fell significantly during the fourth quarter of 2015.

There were 97,021 Miami-Dade homeowners that owed more for their mortgage than what their home was worth during the fourth quarter. That means 22 percent of home loans in the county were underwater, according to a new report from CoreLogic.

Compared to the fourth quarter of 2014, there there 25,064 fewer underwater homes, marking a drop of 5.3 percentage points.

Miami-Dade was the nation’s worst county for underwater home loans during the fourth quarter. Following Miami-Dade was Las Vegas with 21.3 percent and Chicago with 16.7 percent, according to the report.

“Higher prices driven largely by tight supply are certainly a big reason for the rise [of positive equity], but continued population growth, household formation and ultralow interest rates are also factors,” Anand Nallathambi of CoreLogic wrote in the report. “Looking ahead in 2016, we expect home equity levels to continue to build, which is a good thing for the long-term health of the U.S. economy.”

Nationally, homeowners have gained back much of the property values they lost during the housing crash years ago. The U.S. rate for underwater home loans stood at 8.5 percent, or 4.3 million properties, during the fourth quarter. That rate fell by 10.6 percentage points year-over-year. — Sean Stewart-Muniz


Related Articles

arrow_forward_ios
(iStock)
Home prices across globe hit records, prompting worries of bubble
Home prices across globe hit records, prompting worries of bubble
Lennar Executive Chairman Stuart Miller (iStock)
“The home used to be just shelter. Now it is the hub of our entire lives”: Lennar reports strong Q4, full-year results
“The home used to be just shelter. Now it is the hub of our entire lives”: Lennar reports strong Q4, full-year results
Rent-to-own startup Divvy Homes expands to South Florida
Rent-to-own startup Divvy Homes expands to South Florida
Rent-to-own startup Divvy Homes expands to South Florida
Ben Schachter, Sean Black and Mike Pappas (Signature, Getty, Keyes)
Knock expands home lending program into South Florida 
Knock expands home lending program into South Florida 
Rendering of Belmont Village Coral Gables and Baptist Health South Florida CEO Brian L. Keeley
Baptist, Belmont gain approval for luxury senior living in Coral Gables
Baptist, Belmont gain approval for luxury senior living in Coral Gables
9885 Palomino Drive (Credit: Google Maps)
Resort Lifestyle Communities scores $36M construction loan for Lake Worth senior housing project
Resort Lifestyle Communities scores $36M construction loan for Lake Worth senior housing project
5010 Nob Hill Road (Credit: Google Maps)
Sunrise affordable senior housing facility sells for $30M
Sunrise affordable senior housing facility sells for $30M
Mark Zilbert
Let’s make a deal? Some resi sellers in Miami-Dade slash asking prices
Let’s make a deal? Some resi sellers in Miami-Dade slash asking prices
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...