It's been nearly seven years since the housing bubble burst and put many homeowners underwater on their mortgages - meaning that they owed more on their homes than their homes were worth. Nationally, more than 6 million homes remain underwater, or about 13 percent of homes with a mortgage. In Minnesota, that number is around 10 percent.
Now that the housing market is picking up, is there anything those homeowners can do to regain their hold on their homes and their finances? We talk with two experts about all things related to mortgages, including reverse mortgages and underwater mortgages.
LEARN MORE ABOUT THE HOUSING RECOVERY:
• 'Underwater' mortgages decline in Minn. as housing values recover
As home prices rise and homeowners gain more equity in their properties, their risk of foreclosure drops.
The improving home equity picture could prompt more Minnesotans to list their homes for sale, said Herb Tousley, director of real estate programs at the University of St. Thomas.
"As they come into a situation where they have some equity now, I think you're going to start to see more of those houses come on to the market now to help us with the inventory situation," he said.
The inventory of homes for sale in the Twin Cities is at a roughly 10-year low. (MPR News)