Younger Homeowners Owe More On Their HomeHome prices have gone up a little lately and that has helped the real estate market overall, with close to 1 million homeowners getting out of being underwater on their mortgages during the second quarter of 2012. However, the local Maryland moving specialists have learned that younger homeowners are still struggling to stay afloat. Now the research shows that 30.9% of borrowers owe more on their homes than it's worth which is down from 31.4% three months ago. All My Sons of Maryland found out that of the 15 million borrowers who are underwater this quarter, a large number represents the 40 year-old and under group.
Research shows that 48% of all mortgage borrowers under the age of 40 are underwater. That's twice the rate of borrowers who are older. Negative equity is what's keeping many of these people in their homes, not being able to sell. These same homes ar likely to be starter homes for many new first-time buyers. For some of these underwater homeowners, they might have to pay off their mortgage at closing or go for a short sale but that also entails getting the banks to forgive the difference between the amount they're owed and the amount the house is sold. The local Maryland movers know that is the bank doesn't approve the short sale, it doesn't go through. This is not to mention the other consequences of a short sale including an impact on credit score, a residential move and the emotional toll it can take on a person.
As a whole, these younger underwater homeowners typically bought their residential properties before the real estate bubble burst, possibly at the height of the market but years from now they won't be making the profit they expected from their investment. This possibly means no future down payment on a home, or bigger home purchases for bigger investment opportunities. The local Maryland movers know that there's probably nothing to fall back on should they need to use up the equity for another financial mishap. Are you going through a short sale? Do you need help with professional moving services. Trust the reliable Maryland movers for an affordable moving quote and a stress-free residential move. All My Sons of Maryland is backed by four generations of movers and the entire All My Sons Moving and Storage network so you can trust the move.