Investment Potential of Real Estate

Home Equity Rate Continues to Grow

Home Equity Rate Continues to Grow

CoreLogic recently released it home over equity insight report. The initial findings were quite interesting. One of the takeaways was the level of growth in home equity homeowners are enjoying across the nation. With very few exceptions most regions notice the year over year first quarter equity increase which averaged to be almost a 7% increase.

The report notes:

“CoreLogic analysis shows U.S. homeowners with mortgages (roughly 63% of all properties) have seen their equity increase by a total of nearly $590 billion since the first quarter of 2019, an increase of 6.5%, year over year.” (See map below):

Want to Make a Move? Homeowner Equity is Growing Year-Over-Year

This means that In the first quarter of 2020, the average homeowner gained approximately $9,600 in equity during the past year.”

Of course this produces many benefits for homeowners, especially those looking to sell their homes. The equity you have to reinvest in your future home can play an important role in your negotiations. This is especially true while buyers are expressing such a high demand for homes in this time of low housing inventory.

Frank Martell, President and CEO of CoreLogic addresses the potential long-term outlook and how homeowners will likely fare much more positively through the current recession than many did during the last one:

“Many homeowners will experience a recession during their lifetime, and it is reasonable to compare the current recession to those in the past. But the comparison is not apples to apples — every recession is different. Primary drivers of the Great Recession were an overbuilt housing stock, risky mortgages and the collapse of home prices, creating a massive increase in negative equity that proved difficult to recover from. Today’s housing environment has low vacancy and delinquency rates and a large home equity cushion.”

Bottom Line

Now is a great time to consider leveraging your equity and making a move, especially while buyer interest is high.  Please contact Oly Pen Real Estate's team of professionals if you are looking to sell. We have a proven record of success.

Oly Pen Real Estate has a team of trusted real estate professionals to help you navigate changes in our industry. We have a watchful eye on Grays Harbor market so give your Oly Pen Real Estate Team a call today at 360.249.8187 or stop by our office 141 S. Main Street in friendly Montesano, WA and discuss your expectations today!

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