The Average Homeowner Gained $64K in Equity over the Past Year.

Dated: June 21 2022

Views: 1

The Average Homeowner Gained $64K in Equity over the Past Year

The Average Homeowner Gained $64K in Equity over the Past Year | MyKCM

If you own a home, your net worth likely just got a big boost thanks to rising home equity. Equity is the current value of your home minus what you owe on the loan. And today, based on recent home price appreciation, you’re building that equity far faster than you may expect – here’s how it works.

Because there’s an ongoing imbalance between the number of homes available for sale and the number of buyers looking to make a purchase, home prices are on the rise. That means your home is worth more in today’s market because it’s in high demand. As Patrick Dodd, President and CEO of CoreLogicexplains:

“Price growth is the key ingredient for the creation of home equity wealth. . . . This has led to the largest one-year gain in average home equity wealth for owners. . . .”

Basically, because your home value has likely climbed so much, your equity has increased too. According to the latest Homeowner Equity Insights from CoreLogicthe average homeowner’s equity has grown by $64,000 over the last 12 months.

While that’s the nationwide number, if you want to know what’s happening in your area, look at the map below. It breaks down the average year-over-year equity growth for each state using the data from CoreLogic.

The Average Homeowner Gained $64K in Equity over the Past Year | MyKCM

The Opportunity Your Rising Home Equity Provides

In addition to building your overall net worth, equity can also help you achieve other goals like buying your next home. When you sell your current house, the equity you built up comes back to you in the sale. In a market where homeowners are gaining so much equity, it may be just what you need to cover a large portion – if not all – of the down payment on your next home.

So, if you’ve been holding off on selling or you’re worried about being priced out of your next home because of today’s ongoing home price appreciation, rest assured your equity can help fuel your move.

Bottom Line

If you’re planning to make a move, the equity you’ve gained can make a big impact. To find out just how much equity you have in your current home and how you can use it to fuel your next purchase, let’s connect so you can get a professional equity assessment report on your house.

Blog author image

Nanci Gilbert, PA

Nanci strives to provide every client with a smooth and worry-free experience when it comes to buying and selling real estate. In an industry that can move very quickly, she prides herself on taking t....

Latest Blog Posts

If You’re Selling Your House This Summer, Hiring a Pro Is Critical!

If You’re Selling Your House This Summer, Hiring a Pro Is CriticalIt can be tempting, especially with how hot the housing market has been over the past two years, to consider selling your

Read More

A Key Opportunity for Homebuyers!

A Key Opportunity for HomebuyersThere’s no denying the housing market has delivered a fair share of challenges to homebuyers over the past two years. Two of the biggest hurdles homebuyers

Read More

Two Reasons Why Today’s Housing Market Is Not a Bubble

Two Reasons Why Today’s Housing Market Isn’t a BubbleYou may be reading headlines and hearing talk about a potential housing bubble or a crash, but it’s important to understand

Read More

Why an Agent Is Essential When Pricing Your House!

Why an Agent Is Essential When Pricing Your House Some HighlightsWhen it comes to pricing your house, there’s a lot to consider. The only way to ensure you price it right is by

Read More