Michele and Ben Pearson need a new home for their family of eight, currently squeezed into 1,800-square feet of living space.
With six children — including 2-year-old triplets — the couple wanted to upgrade from the three-bedroom home they purchased in the Sutters Mill subdivision in Kuna three years ago.
Their problem: They owe $180,000 on the home, which is now valued at $121,600, according to the Ada County assessor’s office website.
In industry parlance, it’s called being “underwater,” or owing more on a home than the residence is worth.
CoreLogic, a provider of consumer, financial and property information, recently reported that 44,524 homeowners — or almost 34 percent of Treasure Valley mortgage holders — were underwater on their home loans. Another 6 percent, or 7,687 borrowers, had less than 5 percent equity in their property.
It’s a situation that leaves a homeowner with very few options.
Read the complete story at idahostatesman.com