Real Estate News

Sacramento sees drop in ‘underwater’ homeowners

The number of “underwater” homeowners in the Sacramento metro area was 14.8 percent in the fourth quarter of 2014, down from 15.7 percent in last year’s third quarter and from 20.5 percent the previous year, according to a report released Friday by Seattle-based real estate data tracker Zillow.

“Underwater” homeowners have negative equity, meaning they owe more on their mortgages than their homes are worth.

In the Sacramento area, Zillow said negative equity has been declining since hitting a peak of 51.2 percent in the first quarter of 2012.

Zillow said 55,443 Sacramento-area homeowners were underwater at the close of 2014, with a combined negative equity of $5.35 billion. Zillow projected that the area’s percentage of underwater homeowners will fall to at least 12.2 percent by this year’s fourth quarter.

Call The Bee’s Mark Glover, (916) 321-1184.

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