40 % of Jacksonville Mortgages "Under Water" Via the Business Journal

[stephendare]

http://jacksonville.bizjournals.com/jacksonville/stories/2009/11/23/daily24.html

Holy hell.  I guess they all followed Riverside Gator's advice on investments, Craig Van Horn's example on Risk Management, and downtownparks faith that real estate acquisition is always profitable.

Wow.

Nearly 41 percent of all Jacksonville mortgages, or 135,730, were under water as of September, according to First American CoreLogic.

Jacksonville’s rate of homeowners with negative equity, or those who owe more on their mortgage than their house is worth, is much higher than the 23 percent national average, but below the 45 percent of homeowners under water in Florida.

The sunshine state had the third highest percentage of homes under water. Nevada ranked first with 65 percent and Arizona second with 48 percent.

Of the 4.5 million mortgages in Florida, nearly half were under water, and another 180,178 were nearly under water in the third quarter.

Nationwide, nearly 10.7 million or 23 percent of all residential properties with mortgages were in negative equity as of September. Another 23 million were approaching negative equity.

Combined, Florida and California accounted for 4.4 million or 42 percent of all negative equity loans, the report found.

CoreLogic said its data is based on a “proprietary model” that factors in loan amortization and utilization rates for home equity lines of credit, which it claims provides a more precise view of underwater borrowers.

[UpOn2Wheels]

We bought in '08; we're not upside down, but we'd lose a substantial amount of money if we had to sell.  Which isn't beyond the realm of possibility, since I've been unemployed since April.

So let me see:

- real estate is down
- 401k and IRA have tanked
- mortgage company says, "no loan mod for you, asshole; you haven't spent all your money yet"
- there are no jobs in Jax, or, for that matter, most of the US

Will someone tell me when and where to show up with the pitchfork and torch?  Because I'm ready for some good old fashioned castle storming.

[UpOn2Wheels]

Apparently the trick is to catch them walking on streets where there are clearly sidewalks provided, Upon2Wheels.

Que? 

I'm ignoring that thread, given the fact that I come from a law enforcement family.  I'll say this; TV and movies have grossly distorted what cops (and bullets, for that matter) can and cannot do. 

There are three sides to every story: yours, mine and what actually happened.

[tufsu1]

Why is this so shocking?

Consider that housing prices in the area have dropped by 30+ percent....even someone like me, who put 20% down in 2006, is likely in trouble....of course I have no plans to sell, so it really doesn't matter.

BTW, real estate is still the smartest long-term investment a person can make!

[UpOn2Wheels]

BTW, real estate is still the smartest long-term investment a person can make!

From my own history, I've owned four houses in three states over the past 18 years.  In every case, I've made money on the sale regardless of the length of ownership.  Even if we do lose money in Jax, that's still a track record of 75% success.

Besides, you've got to live somewhere and renting sucks from a tax perspective.

[Dog Walker]

That's true of the housing market, but I'll bet the commercial real estate market will take a lot longer to recover, maybe four or five years.  It did after the 1986 changes in the tax law brought the commercial real estate market down.

[sheclown]

It is scary times.  We are in the process of evolving into a different species.

[Dog Walker]

It is scary times.  We are in the process of evolving into a different species.

Well, our genes aren't changing, but our memes sure are!

[Overstreet]

Apparently the trick is to catch them walking on streets where there are clearly sidewalks provided, Upon2Wheels.

I'm a little confused. Is that inaccruately reference to another thread  attempting humor, inciting a riot or being a troll?

[Overstreet]

http://jacksonville.bizjournals.com/jacksonville/stories/2009/11/23/daily24.html

Nearly 41 percent of all Jacksonville mortgages, or 135,730, were under water as of September, according to First American CoreLogic.

Those that are upside down are well aware of the situation. Their insurance companies and mortagage companies keep telling them about it. Don't ask me how I know.

[civil42806]

Apparently the trick is to catch them walking on streets where there are clearly sidewalks provided, Upon2Wheels.

I'm a little confused. Is that inaccruately reference to another thread  attempting humor, inciting a riot or being a troll?

Nah its Stephen being Stephen, when was the last time rivresidegator posted for gods sake.  But the drum beat goes on