Given all the worries about credit in this country, and subprime mortgages, I was curious as to what the entire amount of home mortgage debt is. There are about 110 million households in the country, with 70% of them owned residences. Let%26#039;s say there are 75 million owned homes. Not all have mortgages, but if 70 million do, and the average mortgage amount on such homes is $200,000, that comes out to a scary $14 TRILLION of mortgage debt in the USA. If just 2% default, the amount of bad home loans is $280 billion. It could obviously be much higher.
Does anyone know what total mortgage debt is per household and in total? This is a real problem that could damage the economy.
How much mortgage debt is there in the USA?
You bring up an important question. The best data I can find on the %26#039;net are figures for 2003 (USA Today) - nothing newer available according to them. If that number is correct then the total mortgage debt in the US, 2003, $6.3 trillion. Some adjustments must be made for the past four years- higher, I%26#039;m sure.
Lots of bucks out there!!
Reply:At the end of 2007 total home mortgage debt in the USA was11.2 trillion. Of that 6.5 trillion was used for home mortage-backed securities. For comparison, 53 trillion is our national debt; 180 trillion is the value of derivative andhedge funds combined. Source: Financial Securities Fact Book. Report Abuse
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