Recently there has been a lot of talk about home prices and if they are accelerating too quickly. In some areas of the country, seller supply (homes for sale) cannot keep up with the number of buyers out looking for a home, which has caused prices to rise.
The great news about rising prices, however, is that according to CoreLogic’s latest US Economic Outlook, the average American household gained over $11,000 in equity over the course of the last year, largely due to home value increases.
The map below was created from CoreLogic’s report and shows the average equity gain per mortgaged home from June 2015 to June 2016 (the latest data available).
For those that are worried that we are doomed to repeat 2006 all over again, it is important to note that homeowners are investing their new found equity in their homes and themselves, not in depreciating assets.
The added equity is helping families put their children through college, and even invest in starting small businesses, allowing them to pay of their mortgage sooner or move up to the home that will better suit their needs now.
CoreLogic predicts that home prices will appreciate by another 5% by this time next year. If you are a homeowner looking to take advantage of your home equity by moving up to your dream home, let’s get together to discuss your options!
Petra Quinn is a trusted Real Estate Professional and a recent Graduate, Realtor® Institute (GRI) with over 11 years experience in the Real Estate Business; specializing in listing and selling residential real estate on both sides of the Chesapeake Bay Bridge, in Anne Arundel & Queen Anne’s County, from luxury homes to more modest dwellings. Petra is also a member of the Kent Island Estates Community Association, past BNI® president, member and visitor host committee member, as well as an active committee member at MidShore Board of Realtors®. You can reach Petra best on her cell phone at 443-600-1986, or via email Petra@EXITGoldRealty.com. You can also text PETRAQUINN to 85377 to download her mobile business card. EXIT GOLD REALTY is located at 115 Pullmans Crossing Road, Grasonville, MD 21638. The broker, Debbie Houck, can be reached at the office 410-643-4111.