A house is said to be underwater if the market value of the house is:
A) less than the book value of the house.
B) the same as the amount of the mortgage.
C) less than the amount of the mortgage.
D) above the amount of the mortgage.

Question

Quizplus · Accepted Answer

A house is said to be underwater when the outstanding mortgage balance is higher than the current market value of the house. Therefore, the correct option is C, which states that the market value of the house is less than the amount of the mortgage.

A House Is Said to Be Underwater If the Market