Pursuing Upside-Down Properties for New Listings
Homes with negative equity could create openings for experienced agents, as fewer competitors and options like short sales allow for creative deal structures.
NEW YORK – Properties with negative equity can be opportunities for experienced real estate agents who can navigate complex transactions, according to an analysis from PropStream.
As of the third quarter of 2025, 2.8% of mortgaged residential properties nationwide were considered seriously underwater, meaning homeowners owed at least 25% more than their property's market value. Increasing financial pressures can not only make homeowners upside down on their mortgages but make them more willing to sell.
Agents with expertise will find there is less competition for these kinds of listings and there are opportunities for creative solutions, such as short sales or alternative financing structures. By taking a consultative approach and understanding the financial and emotional challenges involved, agents may be better positioned to guide sellers through difficult decisions.
Industry observers note that assisting homeowners through negative equity situations can also lead to longer-term relationships, referrals and repeat business as market conditions change and sellers regain financial stability.
Source: RISMedia (12/11/25)
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