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# Why Today’s Mortgage Debt Isn’t a Sign of a Housing Market Crash
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One major reason why we’re not heading toward a  is the high level of  homeowners have today. Unlike in the last housing bubble, where many homeowners owed more than their homes were worth, today’s homeowners have far more equity than debt.
That’s a big part of the reason why even though mortgage debt is at an all-time high, this isn’t 2008 all over again. As Bill McBride, Housing Analyst for *Calculated Risk,* :
> *“With the recent house price increases, some people are worried about a new housing bubble –* ***but mortgage debt isn’t a concern*** *. . .”*
Today’s  are in a much  than ever before. So, let’s break it down and see why today’s mortgage debt isn’t anything to fear.
#### **More Equity, Less Risk of Foreclosures**
 to the *St. Louis Fed*, total homeowner equity is nearly triple the total mortgage debt today (*see graph below*):
High equity makes it less likely for homeowners to face foreclosure because they have more options. If someone struggles to make their mortgage payments, they could potentially  and still come out ahead thanks to their built-up equity.
Even if home values , most homeowners would still have a comfortable cushion of equity. That’s a big contrast to the 2008 crisis, where many homeowners were underwater on their mortgages and had few options to avoid foreclosure.
#### **Delinquency Rates Are Still Near Historic Lows**
Another reassuring sign is that,  to the *NY Fed,* the number of mortgage payments that are more than 90 days late is still near historic lows (*see graph below*):
This is partly due to a variety of programs designed to help homeowners through temporary hardships. As Marina Walsh, VP of Industry Analysis at the *Mortgage Bankers Association* (MBA), :
> *“. . . servicers are helping at-risk homeowners avoid foreclosures through loan workout options that can mitigate temporary distress.”*
So, even if someone  on their payments, there are support systems in place to help them avoid foreclosure.
#### **Low Unemployment Helps Keep the Market Stable**
One other important factor is today’s low unemployment rate. More people have stable jobs, which means they’re better able to afford their mortgage payments. As Archana Pradhan, Principal Economist at *CoreLogic*, :
> *“Low unemployment numbers have helped reduce the overall delinquency rate . . .”*
During the last housing crisis, unemployment was much higher, which led to a wave of foreclosures. Today’s  is very different (*see graph below*):
That stability in how many people are employed is one of the reasons the market doesn’t have the same risks as it did the last time.
There’s no need to worry about a wave of distressed sales like the one we saw in 2008. Most homeowners today are employed and have low-interest mortgages they can afford, so they’re able to make their payments. As McBride :
> *“The bottom line is there will not be a huge wave of distressed sales as happened following the housing bubble.”*
### Bottom Line
While mortgage debt is high, rest assured the market isn’t on the brink of another crash. Instead, most  are in a strong position. If you have  or concerns, connect with a local .
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# How To Get Your House Ready To Sell in 2025
### Some Highlights
* If you’re planning to list your house in 2025, it’s already time to  on any repairs. But where do you start?
*  will be able to help you prioritize projects that will help you get the best return on your investment and appeal to what today’s buyers really want.
* If your goal is to sell your house next year, connect with an agent so you know what to start  now.