In the United States there are probably hundreds of thousands of mortgages that are underwater. However, the true number is not known.

Check with your mortgage company, as each mortgage company will have different obligations that you need to fulfill before you can refinance your mortgage. For example, you might not be allowed to be "underwater," or you might have had to make your payments on time for at least 6 months before refinancing.

Bad mortgages can be frustrating. If you are underwater, there is little hope for turning it around. A short sale might be the best option to try and recover some money from your mortgage. If the mortgage rate is too high, you might consider refinancing.

This is possible. When the amount owed on a home is actually more than the resale value of that home, the mortgage is metaphorically said to be "underwater". Housing prices can fall, but your mortgage does not reflect current prices, it is fixed, once you buy your house.

You are still likely to have a foreclosure problem, since the collateral is your house. You need to get more information about what can be done. These days, you may be able to refinance into one loan, even if you are underwater. At the new rate, you may be able to afford your payments.