Fewer homes are seriously underwater, according to RealtyTrac. But underwater homes are still a problem in some places.
The housing research group defines “seriously underwater” as owing more than 25 percent than the home is worth. More than 1 in 6 homeowners with mortgages were seriously underwater in the second quarter this year.
That’s the lowest level of seriously underwater homes since RealtyTrac began reporting negative equity at the beginning of 2012. In the hardest-hit markets, at least 1 in 5 homes are seriously underwater.
“Many of the properties that are seriously underwater are in a deep negative equity hole that will take some time to dig out of,” says Daren Blomquist, vice president at RealtyTrac.
Here, in ascending order, are the top 10 states for underwater homes.