Fewer Fairfield County, Conn. Homes Were Underwater in Q2

Nationally, more and more properties have equity, and according to a report from CoreLogic published last week, Fairfield County’s housing market reflects these trends.

Reported in the Connecticut Post, the number of underwater properties dropped over the second quarter in 2013. Specifically, the percentage of homes with negative equity decreased from 15.3 percent in the first quarter to 11.2 percent in the second quarter.

These trends mirror what’s going on nationally. The CoreLogic report shows that, overall, underwater properties decreased from 19.7 to 14.5 on a national level. Increasing properties, particularly toward the high end of the real estate market, assisted with the positive motion.

However, as the Connecticut Post points out, 7.1 million residences with outstanding mortgages remain underwater across the country.

Along with this improvement, 2013 saw multiple efforts to improve Connecticut’s housing market. As of August, $450 million in relief came to 6,250 homeowners as part of the $25 billion foreclosure settlement from earlier in 2013. Since March 2013, an average amount of $71,618 has been given to struggling Connecticut homeowners, and an additional $1.2 million in modifications is still pending.

In addition to this motion to keep more Connecticut homeowners inside their properties, other state-focused efforts recently came to be. Back in June, the state’s legislative Finance Committee approved a bill to increase the maximum amount CHFA has for uninsured mortgages from $1.15 billion to $2.25 billion. Increasing this limit is said to assist with improving Connecticut’s opportunities for housing.

Although fewer Connecticut homeowners now face foreclosure, the state acknowledges those still struggling. To streamline a process fraught with delays and inconsistencies, the state passed its foreclosure mediation process bill back in August. Ultimately, the measure cuts down on incomplete documentation and delays on the lender’s behalf and ensures both parties in the mediation process act in “good faith.”