20% of all mortgages still underwater.
But that appears to be good news as that number is an improvement over from the past quarter. However, that is not the full story…..
“But don’t cheer about the slight gains in the past three months. Most of the improvement comes because so many people lost their homes to foreclosure “
The twin pillars of destruction in the real estate market still remain: high unemployment and negative equity. As long as the homeowners do not see the light at the end of the tunnel, they will be more inclined to walk away from their homes.
http://money.cnn.com/2010/08/09/real_estate/fewer_underwater_borrowers/index.htm
