The Truth About Homeowner Equity

Dated: 10/05/2017

Views: 179

The Truth About Homeowner Equity | Simplifying The Market

A recent article from a reputable news source was titled: Here’s why some homeowners still can’t sell. In the opening bullets of the article, the author claimed, “Negative equity is one of the main reasons why there are so few homes for sale.” The article then goes on to soften that stance but we want to bring better clarity to the equity situation.

A recent report from CoreLogic (which was quoted in the article) revealed that over 80% of all homes now have “significant equity,” which means the home has over 20% equity. That level of equity allows the homeowner to sell their home if they so desire. (There was no reference to significant equity in the article.)

If eight out of ten homeowners now have significant equity in their homes, it is hard to make the claim that lack of equity is “one of the main reasons why there are so few homes for sale.”

Here is a map showing the percentage of homes in each state which currently have significant equity:

The Truth About Homeowner Equity | Simplifying The Market

Bottom Line

If you are one of many homeowners who is debating selling your home and are wondering how much equity you have accumulated, let’s get together to determine if now is the time to list.

Latest Blog Posts

Mortgage Interest Rates Have Begun to Level Off

Whether you are a buyer searching for your first home, or a homeowner looking to move up to your next home, you should pay attention to where mortgage interest rates are heading.Over the course of

Read More

Mortgage Rates on FIRE! Home Prices Up in Smoke?

Mortgage interest rates have already risen by over a quarter of a percentage point in 2018. Many are projecting that rates could increase to 5% by the end of the year.What impact will rising rates

Read More

Kansas City Real Estate Market Update For 2017 4th Quarter

Hi, welcome to the Kansas City skinny brought to you by Heartland MLS where we dig into the most recent numbers from our market. The number of homes for sale, days on market and months of supply

Read More

Low Inventory Helps Sellers

Why is this woman screaming?? Because she's looking for a home to buy in the KC Metro and there's just not enough inventory. With only 2 months of inventory (meaning if no one else list their

Read More