JHT Market Update - EP 23
Rising Home Equity & House Prices. Here’s Why It’s A Good Thing
Welcome to this week’s JHT market update.
For 7 years running, real estate has outranked stocks, saving accounts, and gold as the best long-term investments among Americans.
Homeownership is a keystone to building wealth and investing in your future, especially as you build equity.
Home equity is the amount of your home you own outright. It’s essentially a forced form of savings that works to your advantage as home prices appreciate and the longer you pay off your mortgage.
According to Corelogic, US homeowners with mortgages have seen their equity increase by a total of $620 billion since the second quarter of 2019, and increase by 6.6%, year over year.
Experts attribute much of this equity growth to rising home prices, putting sellers at an even greater advantage.
The effect of this for sellers means that in today’s market they can get top dollar for their home, while also using their equity to purchase a larger and more attractive home.
To the current market overview of the areas of Fullerton, Cypress & Yorba Linda over the past 7 days shows there are 59 new listings on the market, 56 new contracts and 81 sales.