America is one of the largest countries in the world. The standard of living in the United States is much higher than that of even established European countries. This also means that we live with a large amount more debt than the average citizen of another country as well. For example, there are millions of home loans in America today. While these loans provide a roof over a families head they do not often take into consideration what the borrower is making and whether they will be able to afford the cost of the mortgage over the long term.

So, the question is how many homeowners have a mortgage at the moment?

There are approximately 50 millions home loans in America at the moment.

In August 2009, Deutsche Bank released a report that stated 25 million mortgages would be underwater by 2011. This astounding figure represents a projected 48% of all U.S. home loans. Deutsche estimates that prime conforming and prime jumbo mortgages will be 79% of all home loans. They estimate that 41% of conforming and 47% of jumbo loans will be underwater.

Some smart homeowners have paid off their mortgages and no longer have to pay any payments to their lenders. Others have bought into the recent home buying craze and have just begun their loan .

Many loans in the United States were setup under the ARM mortgage system during the boom real estate years of 2002-2007. These mortgages will continue to be an issue for borrowers over the next couple years. Many homeowners opted for the negative amortization loan or pick a payment mortgage and as these loans reach maturity, many of these borrowers are so underwater that the U.S. Coast Guard can’t even save them.

Foreclosure is currently a massive problem across America. There are thousands of people who lose their home each day because of the home loans that were made to them should not have been made, at least under the system that they were. Luckily, new home buyers can avoid this problem by being smart and not buying a more expensive house than they can afford.

Moe Bedard
My name is Maurice "Moe" Bedard. I am the founder of America's #1 Mortgage Forum, My online work has been featured in the New York Times, LA Times, Fox Business, and many other media publications.