Just when I was coming to peace with the Existing-Homes Sales report, another headline thumped me right on my head. It wasn't the downward revision to GDP nor the marginal tick up in the Consumer Confidence Index as reported today.

Something else caught my attention that could pull the rug right out from our pseudo housing recovery. Do you want to know what it is?

23% of all Borrowers Underwater, Says First American CoreLogic as reported by HousingWire.com.

Here are some of the more interesting facts in the press release:

• 23% equals 10.7 million homes with negative equity
• Additional 2.3 million homes within 5% negative equity
• Rise in negative equity closely tied to pre-foreclosure activity
• Characteristics of home owners under water:
  1. Purchased home between 2005 - 2008
  2. Purchased primarily new construction
  3. Relied on Adjustable Rate Mortgages
  4. $70,000 average negative equity position

For those who have read some of my prior posts questioning the validity of the housing reports issued by the National Association of Realtors® (NAR), I consider the information provided by First American CoreLogic to be more accurate and pertinent to the real estate industry.

Unlike NAR, First American CoreLogic utilizes a data set of 47 million homes which accounts for over 90% of all homes with mortgages. First American CoreLogic also factors in both the 1st mortgage lien and junior mortgage liens when calculating their numbers.

Listen closely Realtors®! This is the kind of information that lenders love and also gives credence for them to be even more critical of home valuations on your purchase deals. If you would like a copy of the full report directly from First American CoreLogic, just ask me and I will be happy to share.

Are You Prepared to Help Waterfront Homeowners?