The $64,000 Question!

Did you know that 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.  Based on recent home price appreciation, you’re building equity far faster than you may expect.  Here's how:

Because there’s an ongoing imbalance between the number of homes available for sale and the number of buyers looking to make a purchase, home prices are on the rise. That means your home is worth more in today's market because it’s in high demand. Patrick Dodd, President and CEO of CoreLogic, explains :

“Price growth is the key ingredient for the creation of home equity wealth. . . . This has led to the largest one-year gain in average home equity wealth for owners. . . .”

Here's the answer to the $64,000 question. Because your home value has likely climbed so much, your equity has increased too.  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, if you want to know what’s happening in your area, contact a member of The Carroll Group and we'll dig into the market stats for your home.

The Opportunity Your Rising Home Equity Provides

In addition to building your overall net worth, equity can also help you achieve other 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. Or add a tidy sum to your bank account if you decide to downsize or move to an area with lower home prices. 

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 you achieve your moving goals.

Contact us today for a complimentary market analysis and an in-depth discussion to see if it's time for you to make a move!