WHY HOME EQUITY IS THE NEW FINANCIAL FUTURE

It’s no secret that the housing market is booming. Homeowners are at a serious advantage right now because they have access to their home equity. As your home appreciates in value, your equity does too- giving you access to larger capital to use at your disposal.

Some people take out their home equities to renovate the property and therefore increasing the value of the property as well. Dr. Frank Nothaft, the chief economist for , asserts that “homeowners have seen their equity increase by a total of $620 billion since the second quarter of 2019.” This 6.6% increase is said to have been created due to the rising of home prices. This meant that the average homeowner gained about $9,800 in equity over the past year.

The second quarter Homeowner Equity Insights Report by CoreLogic also evidenced a 4.3% rise in single-family homes from the month of June. What is even better is the fact that this equity increase has been evidenced in every state- a huge win for the U.S. overall.

What this means: this is the perfect time for homeowners to take out their line of equity and buy their dream home, renovate, or invest that money in other properties and generate passive income. Plus, the housing market is full of surprises. What appears to be a seller’s market right now can quickly become a seller’s nightmare overnight. Take it from the experts- contact a local

real estate professional and take out your equity while it’s still hot.

Topics: Real Estate, Investments, Equity

Source: KCM Crew, https://www.keepingcurrentmatters.com/2020/09/24/home-equity-gives-sellers-options-in-todays-market/