7 States With the Most Underwater Home Owners

August 6, 2012

Fewer home owners nationwide are “underwater” on their mortgages, owing more on their loan than their home is currently worth. CoreLogic reported in July that the number of underwater mortgages fell from 12.1 million—or 25.2 percent—at the end of 2011 to 11.4 million—or 23.7 percent—by the end of the first quarter of this year. 

Still, the number remains high in some states. States with the highest negative equity tend to have some of the highest percentage of home owners who are falling behind on their mortgage payments and facing possible foreclosure too. 

24/7 Wall St. recently identified the following states as having the highest percentage of homes with underwater mortgages.

  1. Nevada -Percentage of mortgages underwater: 61.2%
  2. Florida -  45.1%
  3. Arizona -  43.4%
  4. Georgia - 37.2%
  5. Michigan - 35.6%
  6. California - 30.5%
  7. Illinois - 28%

Source: “States With the Most Homes Underwater,” 24/7 Wall St. (July 19, 2012)