We told you last week about the Hardest Hit Fund's program for underwater homeowners taking applications once again. It appears fewer local residents are needing to take advantage of that. 

The number of Palm Beach County homeowners paying more on their mortgages than what their homes are worth dropped 13 percentage points to 22 percent during this year's first quarter, when compared to the same time last year. 

Meanwhile, a new report on Zillow.com shows that these underwater mortgages are a bigger problem with low to mid priced homes.  Close to 43 percent of South Florida homes valued at or under $86,000 are worth less than what's owed. 

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