8% of Summit County Mortgages Under Water
A recent report by Zillow indicates 8% of Summit County homes with mortgages are financially under water. Under water means that the home is valued at less than the mortgage amount. This is low compared to the national average of 16.7%. So, from that perspective Summit County is looking good.
That said, if we are depending on people moving here to spur growth, increase our government revenues, and ensure as many people live here as possible, other areas like Davis and Salt Lake counties have higher underwater rates. For instance Davis County, which is one of the locations where the most net immigration to Summit County comes from is at 17%. Salt Lake County is at 20% underwater. If people can’t sell their homes their (because of owing more than the house is worth) then they can’t move here.
So, if you are one of those people who are counting on a big population influx from the valley, you better hope home values start increasing rapidly.
Hey yo, Zillow’s data is suspect in non-disclosure states such as Utah. They pull counties assessots’ data which, in Utah, in times of appreciation (such as we are in), greatly lags actual market value. I would be surprised if 0.8% of mortgages in Summit County were under water…but I haven’t been tracking it.
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