The Wall Street Journal recently reported that the number of people underwater on their mortgages (those who owe more than the property is currently worth), has increased to 23% nationally.

Arizona is second only to Nevada with 47.9% of all home owners with a mortgage having negative equity in the third quarter of 2009.

Another 4.5% are classified as “near negative” – within 5% of being in a negative equity position.

So much for the Dry-Heat. The heat this puts on homeowners is truly unbearable.

Something has to give… soon.