U.S. mortgage holders experienced a significant decline in wealth in the third quarter, according to Black Knight, a mortgage lending software and analytics firm.
of the black knight Mortgage Monitor Report, released Tuesday, said total lost homeowner wealth in the three-month period reached $1.3 trillion. “This is the largest quarterly decline in the value of the dollar in history and on a percentage basis he is the largest since 2009,” Ben Graboske, president of the firm’s data and analytics division, said in a statement.
moreover, total homeowners capital It’s down about $1.5 trillion since May when Black Knight said it peaked. From May to the end of September, the average borrower said he lost $30,000, the company said.
“Homeowner positions generally remain strong, although further declines may be on the horizon,” Graboske said. “whole Stocks of Mortgage Holders That’s still $5 trillion (+46%) above pre-pandemic levels, with average earnings per borrower over that period of over $92,000. “
Nationwide, less than 500,000 homes are under water, an increase of about 275,000 in four months, according to the Mortgage Monitor Report.
“Of the approximately 53 million U.S. mortgage holders, only 3.6% are submerged or have less than 10% of their home equity, and about half of that share is in housing,” Grabroske said. pandemic.”
The mortgage lending software and analytics firm noted that median home prices fell 0.52% in September, marking the third straight month of price corrections across the country. Still, in the 50 largest US housing markets, home prices have remained 19% to 66% higher since March 2020, according to Black Knight.
Interest rate sensitive housing market are fighting Rising mortgage rates and soaring home prices. Fannie Mae found in her recent survey that she only 16% of consumers think October is a good time to buy a home. FOX Business previously reported.