Black Knight Mortgage Monitor: "Total market leverage was just 42% of mortgaged homes’ values, the lowest on record"

"Tappable equity is now down 5% in the last two months"

Most homeowners have a significant amount of equity and will not be “underwater” if house prices decline. This is an important difference compared to the housing bubble when many millions of borrowers had little or no equity even before house prices declined. As Black Knight notes in their monthly Mortgage Monitor report released this morning:

Overall,…