Rating 4.6

States With Worst Underwater Mortgages

The economy is slowly but surely getting better. The unemployment rate has dropped and housing sales are picking up again. Even this month's CoreLogic report stated that the number of underwater mortgages has declined from 12.1 million at the end of 2011 to 11.4 million at the end of the first quarter in 2012. That translates to 25.2% of all mortgages to 23.7%. The All My Sons of Maryland movers know that the housing market recovery hasn't be even nationwide, some states are doing better and some are doing worse. There are in fact a list of states that are doing the worst, including Maryland that's taking the number nine spot. The Maryland local movers learned the state has 24.8% of its mortgages underwater with an outstanding mortgage debt of 293.50 billion and 7.9% of mortgages being delinquent for more than three months. Between 2006 and the end of 2011, the local Maryland moving specialists found out that home prices in Maryland decreased by 28.9%, representing the 10th largest decline in the U.S. Almost 30% of homes in Maryland had negative equity or were near negative equity as of the first quarter of 2012. At the same time, Maryland's unemployment rate in May of this year was 6.8% and the state has the highest median income in the country. By April of this year, the foreclosure rates were the 17th highest. Ohio, Idaho, Illinois and California also join this list of States With Worst Mortgages.

The local Maryland movers learned 30.5% of mortgages are underwater in California, with outstanding mortgage debt reaching $1,911 billion. This real estate market is so big that it greatly affects the national average. Between 2006 and the fourth quarter of 2011, home prices in California fell by around 46.7%. It represents the fourth largest decline after Nevada, Arizona and Florida. Since the housing bubble burst in 2006, home prices have fallen 32.6% nationwide. Across the U.S., the value of mortgaged property reaches $12.2 trillion with an outstanding debt on them at $8.6 trillion. This means 70.5% of the value of all homes is in debt. In Nevada, it's at 114%. Michigan, Georgia, Arizona, Florida and Nevada are also on this list of States With Worst Mortgages. The local Maryland movers found out home prices in Florida were almost cut in half since the housing bubble burst. Homeowners in the sunshine state owe about $685 billion in mortgage payments which is more than any other state except for California. In Michigan, more than one in three homes has negative equity but it's the only state on this list of 10 States with Worst Mortgages with rising home prices in 2011. For Georgia, the story was quite different. In 2011, the state's home prices fell by 12.7% which is more than any other state in the U.S.

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