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By: Herbert Reeves, Sat Nov 8th, 2008
1.2M homeowners in the UK are now facing the stressful prospect of negative equity. This means that their property values have fallen to such an extent that their equity has disappeared completely, and their lenders’ equity is now also under threat. In simple terms, if you contributed £50,000 towards the overall purchase price of your home and the value of that home has now fallen by £50,000 or more, from that time, then you are in negative equity and form part of that 1.2M group. What should you do? Don’t panic. Take it on the chin. Things will improve. First things first, keep up with your