Housing units under water
Published April 17, 2014
by Richard Craver, Winston-Salem Journal, April 17, 2014.
About 11 percent of Forsyth County housing units are considered as being “seriously underwater” when it comes to their mortgage, according to a RealtyTrac report for March timed for release today.
The research group defines seriously underwater as owing at least 25 percent more on their mortgages than the property is worth.
The group had 24,803 housing units, or 15.8 percent, considered in the category of “resurfacing.” That is defined as housing units ranging from being underwater by up to 10 percent to having positive home equity of up to 10 percent.
RealtyTrac said 7.5 percent of Forsyth housing units, or 11,848, have a loan-to-home-value of 50 percent or lower, or which is considered as being “equity rich.”
For the Winston-Salem metropolitan statistical area, which consists of Davidson, Davie, Forsyth, Stokes and Yadkin counties, there are 7.9 percent, or 22,515, considered as seriously underwater; 11.8 percent, or 33,723, in the resurfacing category; and 7.2 percent, or 20,753, as equity rich.
By comparison, the Greensboro-High Point MSA has 4.1 percent, or 13,364 housing units, considered are seriously underwater; while 9.1 percent, or 29,510, are resurfacing; and 6.1 percent, or 19,626, are equity rich.
Nationally, 17 percent of housing units, or 9.1 million, are considered as seriously underwater.
That’s down from a recent peak of 12.8 million U.S. residential properties, or 29 percent.
“U.S. homeowners are continuing to recover equity lost during the Great Recession, but the pace of that recovering equity slowed in the first quarter, corresponding to slowing home price appreciation,” said Daren Blomquist, vice president at RealtyTrac.
“Slower price appreciation means the 9 million homeowners seriously underwater could still have a long road back to positive equity.”
For the Charlotte-Gastonia-Concord MSA, 6.6 percent, or 48,624 housing units, are seriously underwater; while 13.2 percent, or 97,001, are resurfacing; and 7.6 percent, or 56,238, are equity rich.
For the Raleigh-Cary MSA, 3.7 percent, or 17,005 housing units, are seriously underwater; while 14.5 percent, or 67,457, are resurfacing; and 8.5 percent, or 39,419, are equity rich.
For the Durham MSA, 3 percent, or 6,577 housing units, are seriously underwater; while 7.8 percent, or 17,366, are resurfacing; and 7.5 percent, or 16,812, are equity rich.
