Is Denver Drowning with Underwater Homes?

Denver Property Management, Industry News

The Mile High City is leading the country in home price gains and selling homes fast, but it also shines in another real estate category:

Denver has fewer underwater homes, meaning that fewer homeowners owe more on their mortgage than what the property is worth.

According to a recent report by Zillow, only about 6% of Denver homeowners are underwater on their mortgage, compared to the national numbers sitting at 14.4%. Let’s break that number down a little more! Denver single-family homeowners come in at 5.3%, while only about 9.9% of condo owners are underwater on their mortgage.

These numbers show great improvement over last year. In 2014, 8.6% of homeowners in Denver owed more than their property was worth.

Now let’s take into account homes that are in the lower end of the Denver housing market. Homes in the bottom third in Denver came in only at about 8.5%, compared to the national average that came in at a whopping 24%! The only city with a lower percentage than Denver in this category was San Jose, CA, which landed in at 6.2%.

With fewer underwater homes, Denver’s housing market isn’t drowning, and that’s great news for everyone!