If someone who has borrowed money to buy a house or flat has negative equity, the amount of money they owe is greater than the present value of their home.
[British, business]
negative equity in British English
noun
the state of holding a property the value of which is less than the amount of mortgage still unpaid
Examples of 'negative equity' in a sentence
negative equity
There are certain banks out there where more than half their mortgages are in negative equity.
The Sun (2012)
She has debts and negative equity on her house and she struggles financially.
The Sun (2013)
The losers are those who have been forced to rent and people in negative equity.
Times, Sunday Times (2012)
Lenders can go after other savings if a borrower sinks into negative equity and their home is repossessed.
Times, Sunday Times (2014)
He said he had sent the valuation showing his home was in negative equity to Ipsa.
Times, Sunday Times (2015)
The property is in negative equity and worth only 175,000.
Times, Sunday Times (2009)
It's still in negative equity today.
Times, Sunday Times (2015)
If they are still in negative equity, they could be forced to sell up.
Times, Sunday Times (2010)
One in five of these had no equity in their home or had been plunged into negative equity as house prices continued to slump.
Times, Sunday Times (2009)
I do have a mortgage and negative equity car loan to pay.
Times, Sunday Times (2008)
Negative equity in American property has lead to record numbers of low-income families and individuals defaulting on their mortgages.
Times, Sunday Times (2008)
He warned that it would cause'all sorts of problems' and risked pushing some people into negative equity.
Times, Sunday Times (2014)
Nearly half of all Americans fail to qualify for a mortgage and more than 8 per cent of homes remain in negative equity.
Times, Sunday Times (2012)
I don't have a mortgage so negative equity doesn't bother me too much.
Times, Sunday Times (2009)
Borrowing more than your home is worth puts you in effect into negative equity - when the debt is more than the property's value.