Is the bay rising with all the people ‘underwater’

by Mark Buford on March 18, 2010

in Cities & County,Foreclosure,Santa Clara County,Sunnyvale

Who are drowning?

per an article in the online version of the San Francisco Examiner, there are an astounding number of people ‘underwater’. What does ‘underwater’ mean? It mean the home owner owes more on their loan then the home is worth. In Santa Clara County alone, 21% of all home owners who have loans, own a home that is worth less than the mortgage they are responsible of paying off.

Tabel of areas underwater

Ths chart can be seen by clicking on the article link above

What are they going to do?

The article goes on to say that many are just walking away from their homes, not making payments. This means these homes will eventually go into foreclosure, which means more homes on the inventory the bank have already that they have not introduced into the market.

Bottom line

The housing market is going to be challenged with this lingering weight that I believe will keep it from rising substantially for a couple more years.

Sunnyvale Home Search Sunnyvale Home Values

Post by Mark Buford

Mark has written 37 articles.

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