How Much Equity Do You Have In Your Home? You Will Be Surprised!
How Much Equity Do You Have In Your Home? You Will Be Surprised! CoreLogic’s latest Equity Report revealed that 675,000 US homeowners regained positive equity in their homes in 2017. This is great news for the country, as 95.1% of all mortgaged properties are now in a positive equity situation.
“U.S homeowners with mortgages (roughly 63% of all the properties) have seen their equity increase by a total of $908.4 billion since the fourth quarter 2016, an increase of 12.2%, year over year.”
Price Appreciation = Good News for Homeowners
Frank Nothaft, CoreLogic’s Chief Economist, explains:
“Home-price growth has been the primary driver of home-equity wealth creation. The CoreLogic Home Price Index grew 6.2 percent during 2017. The largest calendar-year increase since 2013. Likewise, the average growth in home equity was more than $15,000 during 2017, the most in four years.”
He also believes this is a great sign for the market in 2018, saying:
“Because wealth gains spur additional consumer purchases, the rise in home-equity wealth during 2017 should add more than $50 billion to U.S. consumption spending over the next two to three years.”
This is great news for homeowners! But, do they realize that their equity position has changed?
A study by Fannie Mae suggests that many homeowners are not aware that they have regained equity in their homes as their investment has increased in value. For example, their study showed that 23% of Americans still believe their home is in a negative equity position when, in actuality, CoreLogic’s report shows that only 4.9% of homes are in that position (down from 6.3% in Q4 2016).
How Much Equity Do You Have In Your Home? You Will Be Surprised!
The study also revealed that only 37% of Americans believe that they have “significant equity” (greater than 20%) when in actuality, 83% do!
Perceived Equity In Homeownership
This means that 46% of Americans with a mortgage fail to realize the opportune situation they are in. With a sizeable equity position, many homeowners could easily move into a house (either larger or smaller) that better meets their current needs.
Fannie Mae spoke out on this issue in their report:
“Homeowners who underestimate their homes’ values not only underestimate their home equity, they also likely underestimate 1) how large a down payment they could make with their home equity, 2) their chances of qualifying for mortgages, and, therefore, 3) their opportunities for selling their current homes and for buying different homes.”
Bottom Line
If you are one of the many Americans who is unsure of how much equity you have built in your home, don’t let that be the reason you fail to move on to your dream home in 2018! Let’s get together to evaluate your situation!
Call Us Now To Sell Your Home…
Office: 909.985.9392 or Text Us: 714.657.6634
Walking away from your home…Short Sales are an alternative
In some areas, you have a homeowner on either side of you that's in a situation of "negative equity." According to economists, it's not going to get any better for a while....How long will it be before the housing market bottoms out is up for interpretation. Let's say...
Old Video…Pre Short Sale Days
Man...this is old!
DiTech Closes Headquarters in Costa Mesa, CA
The one time behemouth DiTech...part of GMAC closed it's operation yesterday February 03, just as the Tresuary pumps another $3.8 billion into finaniciers open wounds. These cutbacks by parent GMAC are in an effort to reduce 300 postitions and balance out it's big...
Short Sale 2nds Taking Illegal Kick Backs
Banks Taking Kick Backs Kim and I run across this all the time. IT IS ILLEGAL Most recently we have been requested from Citi and Bank of America Negotiator did not care...It's clearly in violation of REPA laws. FASLO Solutions is another violator...they go as far as...
Jim Cramer Speaks "Shadow Inventory" and Making a Profit
Shadow Inventory of Homes...How to profit? Jim Cramer says...
Short Sell Your Home…It's a Business Decision…VIDEO
Short Sell your home...it's a business decision!
DSNEWS Endorses Short Sales as The Alternative to Foreclosures
Default Servicing News has highlighted Short Sales as the alternative to foreclosure... HAFA (Homes Affordable Foreclosure Alternatives) ...a build on HAMP, was introduced November 2009. It is a tremendous stride forward to protect the American Homeowner who is in a...
Laguna Niguel Distressed Property At 50% Decline In Home Value…Short Sale!
I'm sure that many of you reading this will relate to what has happened in a lovely Laguna Niguel neighborhood over the past year. Because it's most likely happened to you or someone you know. We wanted to take some time and share this because so many homeowners are...
FHA Guidelines Buying A Home After A Short Sale
The Department of Housing and Urban Development (HUD) released a letter to lenders regarding borrower eligibility for a new Federal Housing Administration (FHA) mortgage after pursuing a short sale. Here is the actual language from the new FHA Guidelines: FHA Guidance...
Fannie Mae, Freddie Mac, and Ginnie Mae Own 95% of Home Loans
The US Government probably owns your home mortgage loan according to a letter released by the Federal Reserve Bank. The huge resurgence of FHA loans is one of the reasons for the increases from 50% in 2006. Also, the fact that these governmental organization are...
Breaking News from the Treasury about Short Sales
Mortgage Modification Conversion Drive: New Changes: * Lenders to PRE-APPROVE short sales. * Lenders must FULLY RELEASE borrowers from any future obligation (no more deficiency judgment fear!) * No more money out of pocket demands from second lien holders….or any...
Housing Market…Robert J. Shiller; Case/Shiller Index
2010….real estate recovery or more of the same? This week we will be sharing with you what a few on the nations most influential leaders think will happen this year with housing. First up, Mr. Robert J. Shiller…co-creator of the respected S&P/ Case Shiller Home...
HAFA…Short Sales Are Preffered by Lenders Over a Foreclosure!
Short Sales are the new buzz word for home owners and their LENDERS..... Homeowners have been turning to Short Sales the past several years to help them avoid foreclosure, although it's not been altogether easy it's been working for most sellers that have gone down...
Owe More Than It's Worth…Short Sell Your Home Today in Newport Beach
If you owe more on your home than it is worth...call us. 877-391-2338 We can assist you in selling your home in any state in the country.
Tax Credit Bill Passed for New Home Buyers…and Move Ups
As promised….here are the details for the home buyer tax credit. It’s official. President Obama has signed a bill that extends the tax credit for first-time homebuyers (FTHBs) into the first half of 2010. This program had been scheduled to expire on November 30, 2009....
Senate Overwhelmingly Approves Homebuyer Tax Credit Extension
As predicted, the Senate approved the extension of the Home Buyers Tax Credit until April 2010. The approval is as follows: $8,000.00 for 1st time buyers added $6,500.00 for "Move-up" buyers An increase in qualified incomes were doubled from $75,000.00 to $125,000.00...
Short Sell and Buy Another Home At the Same time! It's Here!
The proceeding story is copy write protected: Breaking News*********Kim and I will be talking about this program this week on our coaching calls with Harris Real Estate University Sign up and Log in to the Thursday Call 10:00AM PST As our subscribers know...Kim and I...
Bank of America/Countrywide Streamlining Short Sale Process
BofA (Countrywide) have begun utilizing the Equator system (REOTRANS) to streamline the short sale process. This is great news for all homeowners that are strapped with a one of the formidable Countrywide Short Sales. We learned of this about 6 weeks ago and we are...