Underwater in Mortgage?


Research by economists at the Cleveland Fed finds that people with underwater mortgages are slightly more likely to relocate.

By Teresa at MSN Real Estate Fri 2:11 PM

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Contrary to popular opinion, having an underwater mortgage does not discourage an unemployed homeowner from relocating.

At least that’s the conclusion reached by a team of researchers from the Federal Reserve Bank of Cleveland. In fact, the researchers found that homeowners with less equity were statistically  more likely to move.

“If a hypothetical unemployed, underwater homeowner gets a job offer, he is going to take it,” wrote Yuliya Demyanyk, a senior research economist for the Cleveland Fed and one of the authors of the report.

If you need help buying or selling a home or have questions, please contact Michele Hanigan at DallasHomes@me.com or call/text 214-738-5555.  Additionally, you can check out my Facebook business page at Park Cities / Dallas Real Estate Services.

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