30 Percent of Mortgages are Underwater - CNN Money
Home prices dropped 2.6 percent nationwide during the last three months of 2010 pushing more borrowers underwater, according to quarterly real estate market survey from Zillow.com. Now 27% of homeowners with mortgages owe more than their homes are worth. That's up from 23.2% a quarter earlier. That will surely lead to higher foreclosure rates soon. That's because being underwater is second only to unaffordable payments in leading to foreclosure, according to Zillow's chief economist, Stan Humphries.
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