ZIllow: negative equity falling nationwide, but still impacting homeowners

  • The report found that 12.1 percent of U.S. mortgage homeowners were underwater in the second quarter of 2016, down from 14.4 percent a year ago and 12.7 percent from the previous quarter.
  • Areas in the west, such as San Jose, San Francisco, Portland and Denver had less than a 5 percent negative equity rate in the second quarter of 2016.
  • Midwestern cities Cleveland and Detroit had the biggest gap between underwater homeowners in the suburbs and urban centers, at 13.6 percent and 10.8 percent, respectively.

We’re past the housing crisis, right? According to the second quarter Zillow Negative Equity Report, a lot of homeowners are still feeling the crunch. Five years into the housing recovery, and 12.1 percent of mortgaged homeowners are underwater, according to the website’s research team.