74% of Households in the US Now Have Significant Equity!

Price Appreciation = Good News for Homeowners

Frank Nothaft, CoreLogic’s Chief Economist, explains:

“In just the last four years, equity for homeowners with a mortgage has nearly doubled to $6.9 trillion. The rapid increase in home equity reflects the improvement in home prices, dwindling distressed borrowers and increased principal repayment.  

These are all positive factors that will provide support to both household balance sheets and the overall economy.” 

Anand Nallathambi, President & CEO of CoreLogic, believes this is a great sign for the market in 2016 as well, as he had this to say:

“More than 1 million homeowners have escaped the negative equity trap over the past year. We expect this positive trend to continue over the balance of 2016 and into next year as home prices continue to rise.  

Nationally, the CoreLogic Home Price Index was up 5.5% year over year through the first quarter. If home values rise another 5% uniformly across the U.S., the number of underwater borrowers will fall by another one million during the next year.” 

Below is a map illustrating the percentage of households in each state with significant equity: 

equity

Many homeowners with more than 20% equity in their home would be able to use that equity as a down payment on either a larger home or even a retirement home.

Bottom Line

If you are one of the many Americans who are unsure of how much equity you have in your home, don’t let that be the reason you fail to move on to your dream home this year!

Courtesy of Keeping Current Matters June 2016.

Naples_Pier2-380x252Are you one of the 74% that aren’t aware of the amount of equity you have in your home?  I can help.  Call me for an appointment and I can help figure out the true price of your home in our market.  Not located in Florida but thinking of retiring here?  Call me anyway, I know professional Realtors across the country who can assist you in getting the best price for your current home so you have more down payment when you arrive to buy in my area.

Remember it is always toasty in Naples and you deserve your piece of Naples sunshine and positive equity in your home!

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