Cox Automotive’s August Dealertrack Credit Availability Index (published September 10) found that 57.4% of funded auto loans included negative equity—up 60 basis points from July, the first increase in five months, and 390 basis points above the 53.5% share a year earlier. That reading sits above every monthly print Cox cited from 2015 through 2019.
The same report says consumers used longer terms and leftover balances to complete purchases: a record 31.3% of loans ran longer than 72 months, and down payments held at 13%. Those structures lower the payment today. They also keep more Houston drivers underwater if they need to sell before the note catches the car.
A cash sale is a different conversation. You are not asking a new lender to roll the old balance into a new car. You are asking what a buyer will pay for this VIN, then settling the lien separately.
If you still owe, get a current payoff from the lienholder before you compare offers. A cash number that looks “fine” can still leave a check you have to write at the title office.
SellMeYourCarHouston is a Greater Houston cash-sale path: you request a no-obligation offer, they contact you about the vehicle, and they handle the paperwork side of a cash deal. The site lists loan-payoff help, free pickup, and payment when you accept—not a promise that every car clears the bank in an hour or that every offer beats every dealer trade. Timing on the first call is typically within a few hours; it is not guaranteed.
Do not confuse “we can pay off the loan” with “we erase the shortage.” If the cash offer is under the payoff, you still bring the difference to release the title.
Shop more than one cash number if you can. One driveway glance is one buyer’s recon math.
Do not wait for the next credit-access headline. Extra miles and another insurance cycle rarely help an underwater seller.
Takeaway: August’s loan mix shows more buyers carrying leftover balances. If you want out of the car—not into a longer note—compare a Houston cash offer against a real payoff, not against a rolled payment.