Almost half of mortgages in Arizona are 'underwater,' report says

The Arizona Republic reports:

Just under half of all Arizona mortgages were "under water" in spring of this year, the second-highest percentage in the nation, according to a report from a private research firm.

CoreLogic said only Nevada, at 63 percent, had a higher rate of homes under water at the end of the first fiscal quarter of 2011, the most recent period for which it had a report.

Can you say lower home price in Arizona?