Homes that are affordable to first-time homebuyers are more likely to be underwater than homes in higher price ranges, exacerbating inventory shortages in many markets because their owners are unwilling or unable to pull off a short sale or bring cash to the closing table. An analysis by Zillow shows the percentage of homeowners with mortgages who owe more than their homes are worth has declined for the eighth consecutive quarter, to 18.8 percent, or nearly 9.7 million underwater homes. But about 30 percent of mortgaged homes in the bottom third of home values were underwater, compared with 18.1 percent of homes in the middle third and 10.7 percent of homes in the top third, Zillow found. The analysis showed that as price appreciation slows, the pace at which homeowners are gettin...
Dec 19, 2013 by Andrea V. Brambila
Feb 27, 2014 by Inman