{
  "id": 2217648,
  "title": "Bought a home between 2022 and 2025? You could be most vulnerable to this housing market shift",
  "url": "https://urgent.news/2026/08/20/bought-a-home-between-2022-and-2025-you-could-be-most-vulnerable-to",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-20T20:00:00.000Z",
  "source": {
    "name": "Fast Company",
    "slug": "fast-company",
    "url": "https://www.fastcompany.com/91593049/bought-a-home-between-2022-and-2025-you-could-be-most-vulnerable-to-this-housing-market-shift"
  },
  "original_language": "en",
  "account": "Homeownership in the U.S. appears to be facing a potential shift in the market, as new data reveals that a decreasing number of homeowners are sitting on significant equity in their properties. Property data company Attom's 2026 U.S. Home Equity & Underwater Report highlights that the share of equity-rich homes with mortgages dropped to 41% in the second quarter, down from 43% in the first quarter. This suggests a decreasing trend over the past year, as the rate rose from 47% a year ago.\n\nAn equity-rich home is defined as a residential property where a homeowner's mortgage balance does not exceed 50% of the estimated market value of the home. The report also found that 3.2% of homes were \"seriously underwater,\" with mortgage balances surpassing 25% over the estimated market value. This figure remained consistent from earlier this year, but marks a notable increase of 2.7% from the same period in 2025.\n\nAttom CEO Rob Barber stated that while the rates of equity-rich and seriously underwater homes remain healthier than they were before 2020, both have been showing less favorable directions over the past year, indicating a worrying trend. Local data in 2026 show varying stories around home equity, with 13 states experiencing an increase in equity-rich homes quarter-over-quarter. However, only four states saw a rise from 2025 to 2026. States with rising year-over-year home equity rates include North Dakota, South Dakota, Kentucky, and Wyoming, with North Dakota showing the highest increase at nearly three percent.\n\nThe states with the highest proportion of equity-rich homeowners include Vermont at 79%, followed by Montana, Rhode Island, South Dakota, and New Hampshire, where over half of mortgaged homes are equity-rich. However, most states saw a decline in the share of equity-rich homes. Minnesota experienced the most significant annual drop, with home equity falling from 38% to 20%. Michigan, California, Washington, and Missouri also saw declines of roughly 10% or more.\n\nWorryingly, the report reveals that 18 states saw a rise in the proportion of seriously underwater homes in the second quarter, while 33 states experienced an increase year-over-year. Minnesota and Louisiana have the highest percentages, with over 10% of homes in each state considered seriously underwater. Arkansas, Iowa, and Mississippi also have more than 6% of their mortgaged homes in this category.",
  "summary": "The share of homeowners sitting pretty on a huge chunk of home equity just hit a nearly five-year low. In a new report , property data company Attom found that just 41% of U.S. homes with mortgages were equity-rich in the second quarter, down from 43% in the first quarter of the year. That might not sound like a huge drop, but just a year ago 47% of homes met the same criteria. To qualify as…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}