06/22/2022
If you own a home, your net worth likely just got a big boost thanks to rising home equity.
•Equity is the current value of your home minus what you owe on the loan. And today, based on recent home price appreciation, you’re building that equity far faster than you may expect
•Despite the increase In interest rates home prices are still on the rise as a result of the ongoing imbalance between the number of homes available for sale and the number of buyers. That means your home is worth more in today’s market because of high demand.
•Price growth is the key ingredient for the creation of home equity wealth.
•According to the latest Homeowner Equity Insights from CoreLogic, the average homeowner’s equity has grown by $64,000 over the last 12 months.
While that’s the nationwide number, take a look at the map on the next slide as It breaks down the average year-over-year equity growth for each state.
Rising Home Equity Provides Opportunity
Not only does it build your overall net worth, equity can also help you achieve other financial goals like buying your next home. When you sell your current house, the equity you built up comes back to you in the sale. In a market where homeowners are gaining so much equity, it may be just what you need to cover a large portion – if not all – of the down payment on your next home.
So, if you’ve been holding off on selling or you’re worried about being priced out of your next home because of today’s ongoing home price appreciation, rest assured your equity can help fuel your move.
Bottom Line
If you’re planning to make a move, the equity you’ve gained can make a big impact to fuel your next purchase. To find out just how much equity you have in your current home, let’s connect to discuss your options.
Joanna Recinos
📱310-283-4353
📧 [email protected]
