Recently, Zillow published their Negative Equity Report, which shows that home values are rising and the number of American homeowners with negative equity — or a house “underwater” — has dropped. While this is great news, the report also shows that 18.2% of homeowners with positive equity in their home can’t afford to move from that home. They likely cannot afford a down payment for a new home due to other debts or lack of income, or they cannot qualify for a loan due to their credit score or other debts. In effect, these homeowners are tied to their current homes by debt.
If you are a homeowner with a rising home value who wants to take advantage of the real estate market but is being held back by other debts, then contact a debt settlement attorney who can help you negotiate a large reduction in your other debts and get you in a healthy financial position to sell your home and buy the next.