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negative equity

British  

noun

  1. 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

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For those with less than $2,000 of negative equity, that might mean waiting another six months to a year before breaking even on their loan, Jominy said.

From MarketWatch Apr. 28, 2026

The average age of a trade-in with negative equity is now 4.3 years, according to Edmunds.

From MarketWatch Apr. 28, 2026

The average underwater trade-in now carries $7,183 in negative equity, according to Edmunds — with the largest share, 41%, being underwater by $5,000 or less.

From MarketWatch Apr. 28, 2026

Borrowers with negative equity, however, can have a difficult time securing a loan for a new car, and it could put them at greater risk of falling behind on their payments, studies show.

From The Wall Street Journal Apr. 26, 2026

About 30% of car buyers trading in vehicles in the first quarter had negative equity, owing an average of about $7,200 on their old loans.

From The Wall Street Journal Apr. 26, 2026

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