The Wall St Journal reports that over 20% of US homeowners owe more on their mortgage than their homes are worth.
Some metropolitan areas are faring worse – much worse – than others. Las Vegas takes the prize, with an astounding 67.2% of homes that are “upside down” in terms of equity. Maybe the Obama administration can order the remaining 32.8% can take what’s left of their home equity over to the roulette wheel at MGM – appealing to their patriotic duty to help less fortunate home and casino owners with each spin of the wheel.
If you’re scoring at home, perennial foreclosure powerhouse Stockton, CA placed a distance 2nd, with 51% of their homes underwater.
This bit was also picked up by our friends at The Daily Crux.
How bad can this financial crisis get? Check out Bud Conrad’s analysis of our current situation, in comparison with similar types of financial collapses.