Homeowners underwater in New York area plummets
Rising home prices have helped right nearly two million upside-down mortgages across the U.S. this year. In New York-White Plains-Wayne, negative equity declined slightly from 12 percent of all residential properties with a mortgage to 11 percent, or 126,083 properties, according to an analysis by Irvine, Calif.-based CoreLogic.
“The negative equity burden continues to recede across the country thanks largely to rising home prices,” Anand Nallathambi, president and chief executive of CoreLogic, said in a release. “We are still far below peak home price levels, but tight supplies in many areas coupled with continued demand for single family homes should help us close the gap.”
Nationally, underwater mortgages declined to 9.7 million, or 19.9 percent of mortgaged residential properties, from 10.5 million, or 21.7 percent, from the fourth quarter of 2012 to the first quarter of this year.
The national aggregate value of underwater mortgages decreased in the first quarter by more than $50 billion to $580 billion from $631 billion at the end of the fourth quarter of 2012.
Most home equity is concentrated at the high-end of the housing market, according to Corelogic. About three out of four homes valued at less than $200,000 have positive equity, compared to 88 percent of homes greater than $200,000. –Emily Schmall