Fewer Homes in Missouri Have a Second Mortgage or Equity Loan
By: Ramu Garuda June. 25, 2018
Missouri has seen a substantial drop in the proportion of homes with a second mortgage, equity loan, or both between 2009 to 2016. In 2009, 14.09 percent of all homes in Missouri had a second mortgage or equity loan—that number reduced by more than half to 7.14 percent in 2016.
These are the latest findings shared by Gavop, on the basis of its analysis of Missouri real estate data from the United States Census Bureau. The analysis showed that over the same seven-year period, the number of homes with one mortgage or other debt has also declined. In 2009, 66.71 percent of Missouri homes had a mortgage or other debt. This fell to 61.87 percent in 2016.
The following table compares Missouri’s state-wide values to national levels. The decrease in homes with a second mortgage, equity loan, or both are similar at the state and national level.
| Location | % of Homes with Mortgage or Other Debt 2009 | % of Home with 2nd Mortgage or Equity Loan or Both 2009 | % of Homes with Mortgage or Other Debt 2016 | % of Home with 2nd Mortgage or Equity Loan or Both 2016 |
|---|---|---|---|---|
| Missouri | 66.71% | 14.09% | 61.87% | 7.14% |
| United States | 67.81% | 16.9% | 63.04% | 8.79% |
Within the state, Jefferson County experienced the largest decrease in homes with a second mortgage, equity loan, or both—the percentage of such homes fell by 63.65 percent. The next largest decrease was seen in Christian County at -61.69 percent followed by Boone County at -61.37 percent, Cass County at -60.59 percent and Clay County-58.35 percent..
The five counties to experience the smallest decrease were Cole, Franklin, Greene, Jasper, and Cape Girardeau County where the percentage change in homes with a second mortgage, equity loan, or both ranged from -22.3 percent to -42.35 percent.
Counties to Experience Highest Decrease in Homes with Additional Debt Between 2009 and 2016
| County | % Change of Homes with a 2nd Mortgage or Equity Loan or Both |
|---|---|
| Jefferson County | -63.65% |
| Christian County | -61.69% |
| Boone County | -61.37% |
| Cass County | -60.59% |
| Clay County | -58.35% |
Franklin County in Missouri has the highest number of homes with a second mortgage, equity loan, or both. Second in line is Platte County at 11.13 percent followed by St. Louis County at 10.07 percent, St. Charles County at 10.06 percent, and Cole County at 9.25 percent.
ABOUT THE AUTHOR
Ramu Garuda
Ramu is a research analyst with over 9 years of analytics & research experience. Prior to joining the company, he worked with some of the prominent consulting and market research firms in India, including Pride Technology (Supporting consulting projects to PWC), RR Donnelly, and The Hackett Group. His skills include company profiling, benchmarking, data and trend analysis, industry analysis, and report writing across the industries. Ramu holds a Master’s degree in Finance and Marketing. He also has a bachelor’s degree in Biotechnology.
