REWahoo
Give me a museum and I'll fill it. (Picasso) Give
A Money article says the average US homeowner has 56% equity in their house, compared to 68% in 1973 and 80% in the 1950's. The bottom line:
"...if housing prices flatten out or decline, some newer homeowners who have built up little equity, could find themselves "upside down" -- owing more than their houses are worth.
And, if interest rates rise, homeowners with adjustable rate mortgages may not be able to keep up higher payments or sell the house for what they paid. Foreclosures could spike and the supply of homes for sale soar. That could send real estate market into a tumble. "
And the magazine will then be able to say "we told you so".
http://money.cnn.com/2005/08/04/real_estate/buying_selling/home_equity_falling/index.htm
REW
"...if housing prices flatten out or decline, some newer homeowners who have built up little equity, could find themselves "upside down" -- owing more than their houses are worth.
And, if interest rates rise, homeowners with adjustable rate mortgages may not be able to keep up higher payments or sell the house for what they paid. Foreclosures could spike and the supply of homes for sale soar. That could send real estate market into a tumble. "
And the magazine will then be able to say "we told you so".
http://money.cnn.com/2005/08/04/real_estate/buying_selling/home_equity_falling/index.htm
REW