Negative Equity

CoreLogic’s market data shows that negative equity remains concentrated in five states. Nevada had the highest negative equity percentage with 67 percent of all of its mortgaged properties underwater, followed by Arizona (49 percent), Florida (46 percent), Michigan (38 percent), and California (32 percent).


Some of these same hard-hit states, however, also saw the largest declines in negative equity during the third quarter. Alaska experienced the biggest decrease, falling 1.8 percentage points, followed by Nevada (-1.6), Arizona (-1.4), California (-1.2), and Florida (-0.9).

Idaho and Alabama are the only states with noticeable increases in their negative equity ratios last quarter. CoreLogic says this comes as no surprise given they are currently the two top states for home price depreciation.