Homeowners' debt on their houses exceeds their equity for the first time since 1945.

[sinkingfeeling]

http://money.cnn.com/2008/03/06/real_estate/home_equity.ap/index.htm?cnn=yes

NEW YORK (AP) -- Americans' percentage of equity in their homes has fallen below 50 percent for the first time on record since 1945, the Federal Reserve said Thursday.

Home equity, which is equal to the percentage of a home's market value minus mortgage-related debt, has steadily decreased even as home prices jumped earlier this decade due to a surge in cash-out refinances, home equity loans and lines of credit and an increase in 100% or more home financing.

Moody's Economy.com estimates that 8.8 million homeowners, or about 10.3% of homes, will have zero or negative equity by the end of the month. Even more disturbing, about 13.8 million households, or 15.9%, will be "upside down" if prices fall 20% from their peak.

[whistle]

1. Eight years of Bushonomics has done this to 85% of American households

....and Alan Greenspan helped that along

[CountAllVotes]

2. time to cut those rates again!

Quick, Bernake, quick! Cut those rates! Crash that U.S. dollar! Quick!

:mad:

:dem: :kick:

[no_hypocrisy]

3. Yawn, it's Clinton's fault, let's move on.

Same old tired freeper mantra.

[kestrel91316]

4. Bush must be SOOOOO proud!

[ellie]

5. I just checked Zillow

and I owe $3,000 more on my house than what it is worth! I am glad that I am not selling anytime soon.