Chart: Las Vegas Mortgage Holders are $14 Billion Underwater - 8 News NOW

Desert Underwater

Chart: Las Vegas Mortgage Holders are $14 Billion Underwater

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LAS VEGAS -- No state had a higher percentage of homes underwater than Nevada for the three months that ended in June.

Not only that, but the 60.4 percent of mortgaged residential properties with negative equity was nearly triple the national average of 22.5 percent of homes underwater, according to a September report from CoreLogic, a real estate analytics firm in Santa Ana, Calif.

Most striking, though, was this finding from CoreLogic: Of the 50 U.S. metropolitan areas with the highest percentage of home mortgages underwater, Las Vegas was one of only two cities where total mortgage debt for the entire metro area exceeded total property value. And Las Vegas is far worse off than the other city, Orlando, Fla.

Top Ten Underwater Cities : Percentage Under Water

  1. Las Vegas : 63.3%
  2. Phoenix, Ariz. : 53.7%
  3. Orlando, Fla. : 53.1%
  4. Fort Lauderdale, Fla. : 47.9% 
  5. Tampa, Fla. : 47.5%
  6. Jacksonville, Fla. : 45.9%
  7. Miami, Fla. : 45.5%
  8. Riverside, Calif. : 45.3%
  9. West Palm Beach, Fla. : 42%
  10. Warren, Mich. : 41.6%
Source:, As of June 2011

With total mortgage debt of $85.9 billion for property valued at only $71.8 billion, Las Vegas homeowners were a combined $14.1 billion in the hole. Orlando homeowners, by comparison, faced a mere $142 million deficit. The remaining 48 cities still had more combined property value than debt.

Another way to look at it is that for every $1 of property value, Las Vegas homeowners owed nearly $1.20.  

Here's the good news, if you can call it that. The city's $14.1 billion equity deficit was an improvement from the fourth quarter of 2009, when the deficit was $25 billion.

Of the 425,579 homes with mortgages in Las Vegas as of June, 269,560 or 63.3 percent were underwater. That was nearly 10 percentage points higher than 2nd place Phoenix, where 53.7 percent of homes had negative equity.

CoreLogic also reported in October that Nevada led the nation with the sharpest decline in home values, 12.4 percent, from August 2010 to August 2011. Nationally home prices dropped 4.4 percent over the same period, the company found.

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