As house price gains continue, more underwater homeowners will regain a position of positive equity in their homes. House price increases of 10 percent or less would be sufficient for about 40 percent of underwater homeowners to regain positive equity; presumably, some subset of those homeowners will be interested in selling their homes.
It is for this reason that the CBS, with the assistance of AFI, is engaging with its stakeholders on the upcoming implementation and operation of a regulatory sandbox framework. This is expected to provide a platform for financial service providers and FinTech companies to live-test innovation in a controlled environment, thus contributing towards growing opportunities in the financial landscape.