CoreLogic analyst Molly Boesel drills into one of housing's clearest indicators of continued healing from the damages of the Great Recession, the latest CoreLogic Equity Report.
Broad strokes, national improvement measures look like this: total dollar amount of negative equity, which applies to borrowers who owe more on their mortgages than their homes are worth, fell to $301 billion in Q3 2015, down by $8.1 billion from Q2 2015. That's good news, but, as Boesel notes, it belies the fact that in certain "pockets," underwater borrowers are still too plentiful. She writes:
Trends suggest that there is a high concentration of negative equity mortgages in the low end of the housing market. Homes valued at less than $100,000, for example, had a negative equity share of 18.2 percent in Q3 2015, which is more than twice the national share of 8.1 percent. Homes valued between $100,000 and $200,000 had the second-highest negative equity share of 10.7 percent. On the other end of the scale, homes valued at more than $200,000 had only a 4.7 percent negative equity share, but represented 87 percent of the negative equity dollars nationwide.