The average California foreclosure is 45-percent underwater. Also, don’t put much credence in the housing “uptick”. 72 percent of foreclosures aren’t being put on the market since lenders are waiting to see how much additional loan modification assistance will be provided by the federal government:
The average California foreclosure has a total loan balance of $425,134 on a home that is now worth $236,739
It’s worth noting that this underwater ratio suggests a decline in prices in excess of anything presently being reported in the various housing price indices.