About 759,000 properties regained equity in the second quarter, bringing the total number of residential mortgages that are lower than their property’s value to about 45.9 million. That equates to about 91 percent of all mortgaged properties. Borrower equity has risen year-over-year by $691 billion, according to CoreLogic’s recent equity report.
“For much of the country, the negative equity epidemic is lifting,” says Anand Nallathambi, CoreLogic’s CEO and president. “The biggest reason for this improvement has been the relentless rise in home prices over the past three years which reflects increasing money flows into housing and a lack of housing stock in many markets.”
CoreLogic predicts home prices to rise an additional 4.7 percent over the next year, if that prediction holds true, 800,000 home owners could regain positive equity by July 2016.