Almost 38% of homes are "underwater"

Almost 38% of homes are "underwater" - Some 37.8% of mortgaged homes in the Denver-Aurora-Broomfield area had negative equity in the second quarter of this year, according to a study released yesterday by First American CoreLogic Inc. The national rate was 32.2%, down from 32.5% the first quarter reflecting a flattening of monthly home price changes. “Negative equity continues to be the dominant driver of the mortgage market … Given that negative equity did not increase this quarter, and home-price declines are moderating or flattening, it may indicate we are at the peak of the negative-equity cycle,” Mark Fleming, First American’s chief economist, said in a statement. http://www.bizjournals.com/denver/stories/2009/08/17/daily13.html