negative equity

British

noun

the state of holding a property the value of which is less than the amount of mortgage still unpaid

"Collins English Dictionary — Complete & Unabridged" 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012

Example Sentences

Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.

A homeowner is considered to be underwater on their mortgage when they owe more to their lender than what their home is worth — a position also referred to as negative equity.

From MarketWatch

Eli Carter and Martin Tobias suggest that a reversion to negative equity- bond correlations could confound expectations in 2026.

From MarketWatch

“No one wants to sell if they are in negative equity,” he said.

From MarketWatch

Homeowners see negative equity in their homes as they owe more on their mortgage than the actual value of their home.

From MarketWatch

Negative equity returns were more common over shorter periods.

From MarketWatch

Definitions and idiom definitions from Dictionary.com Unabridged, based on the Random House Unabridged Dictionary, © Random House, Inc. 2023