How Much Mortgage Debt Americans Carry Against Their Property Value
October 9, 2024
How Much Mortgage Debt Americans Carry Against Their Property Value
Posted by mo_merton
5 comments
So, Looks a lot healthier than 2013.
This is a terrible visual. Not only because it leaves out all data above 100%, but its title and “upward” trajectory make it seem like a vague graph that says “houses are getting more expensive, *shocking*”
The graph is trying to convey that the average mortgage on a house is lagging behind market value, so people are owing less on their house relative to its value. Housing prices are rising faster than the average size of mortgages.
When you’re buying a house with a 30 year loan at 2.25% *you borrow as much money as they will let you have!*
It would be nice to see the data leading up to and past the 2008 financial crisis
Yeah, in 2013 more people were underwater on their houses and LTVR consequently sucked.
Now, housing prices are at record highs and LTVR is lower, significantly.
The same house that was at 100 in 2013 could be at 60 today with no change in ownership.
5 comments
So, Looks a lot healthier than 2013.
This is a terrible visual. Not only because it leaves out all data above 100%, but its title and “upward” trajectory make it seem like a vague graph that says “houses are getting more expensive, *shocking*”
The graph is trying to convey that the average mortgage on a house is lagging behind market value, so people are owing less on their house relative to its value. Housing prices are rising faster than the average size of mortgages.
When you’re buying a house with a 30 year loan at 2.25% *you borrow as much money as they will let you have!*
It would be nice to see the data leading up to and past the 2008 financial crisis
Yeah, in 2013 more people were underwater on their houses and LTVR consequently sucked.
Now, housing prices are at record highs and LTVR is lower, significantly.
The same house that was at 100 in 2013 could be at 60 today with no change in ownership.