Nearly three out of 10 homeowners, or 20.6 million Americans, own their homes free and clear of mortgage debt, according to a recent survey by Zillow, the online listing aggregation and valuation service.
Among the nation's 30 largest metro areas included in the study, Pittsburgh had the highest percentage of free-and-clear homeowners at 38.6 percent, followed by Tampa (33.2 percent), New York (29.7 percent), Cleveland (29.4 percent) and Miami (28.9 percent). Washington, D.C., had the lowest percentage of mortgage-free homeowners at 15.5 percent, followed by Atlanta (17.7 percent), Las Vegas (18.3 percent), Denver (18.5 percent) and Charlotte (20 percent).
Median home values may be one factor driving the percentage of homeowners who are debt-free. Cities with lower home values, for example, generally have higher homeownership rates, as smaller loan amounts can be paid off more quickly. Demographics and borrowers' credit ratings can also influence the percentage of free-and-clear homeowners. About 20.5 percent of those age 65 to 74 own their homes outright, followed by those age 75 to 84 (17.9 percent). Meanwhile, a staggering 34.5 percent of owners between the ages of 20 and 24 are free of mortgages.
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