These numbers really are not too surprising. They bring out facts you may not have already know and lead to some clues about how long it will be until the US housing market recovers or at least begins to look more positive.
For people to sell one home and buy another today is a challenge born out in these statistics: If you have to bring money to the closing when you sell just to cover the difference between payoff and sales price you may not have enough to purchase a new home. If you do a short sale you damage your credit for at least 2 years or longer depending on your situation.
Read this full article for some good insights from the statistics channel.
Mortgage Difficulty Rates High, But Decreasing
A new Harris Poll finds that fully 22% of people with mortgages are having difficulty meeting their mortgage payments, including 7% who are having “a great deal of difficulty”. Furthermore, 21% of those with mortgages are “underwater” in that they think their homes are worth less than the amounts that they owe.
Middle Class Most Likely to Be Underwater
Looking at income demographics among homeowners who say they are underwater, the highest percentage (27%) is found among what could be considered lower middle class homeowners with an annual household income of $35,000 to $49,999. The next-highest percentage (24%) is found among middle class homeowners one income level higher (24%).