Every quarter, the Federal Housing Finance Agency (FHFA) reports on the year-over-year changes in home prices.
Below, you will see that home prices are up year-over-year in every region.
Looking at the breakdown by state, you can see that each state is appreciating at a different rate. This is important to know if you are planning on relocating to a different area of the country. Waiting to move may end up costing you more!
26% of Homes with a Mortgage are Now Equity Rich!
Rising home prices have been in the news a lot lately and much of the focus has been on whether home prices are accelerating too quickly, as well as how sustainable the growth in prices really is.
One of the often-overlooked benefits of rising home prices, however, is the impact that they have on a homeowner’s equity position.
Home equity is defined as the difference between a home’s fair market value and the outstanding balance of all liens (loans) on the property. While homeowners pay down their mortgages, the amount of equity they have in their homes climbs each time the value of their homes go up!
According to the latest Equity Report from ATTOM Data Solutions, “nearly 14.5 million U.S. properties were equity rich — where the combined estimated amount of loans secured by the property was 50 percent or less of the property’s estimated market value — up by more than 433,000 from a year ago to a new high as far back as data is available, Q4 2013.”
This means that over a quarter of Americans who have a mortgage would be able to sell their homes and have a significant down payment toward their next home.
Many who sell could also use their new-found equity to pay off high-interest credit cards or help children with tuition costs.
The map below shows the share of properties with a mortgage in each state that were equity rich in Q3 2018.
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!
In real estate, the spring is often seen as the ideal time to buy or sell a house. The term “Spring Buyer’s Season” exists for a reason, as renters and those looking to move on from their current home thaw out from the winter and hit the market ready to buy.
According to Bank of America’s annual Home Buyer Insights Report, 41% of renters surveyed agree that spring is the best time to buy a home.
The surprising result, however, is that when ranking the seasons, winter comes in second at 24%.
1. Homes show better when decorated for the holidays.
2. Relocation buyers are out there.
3. Purchasers looking for homes during the holidays are serious buyers who are ready to buy now.
4. The supply of listings increases substantially after the holidays.
5. The desire to own a home doesn’t stop when the holidays come.
If you are thinking about moving up to your dream home, waiting until later this year and hoping for prices to fall may not be a good strategy.
According to Freddie Mac’s Primary Mortgage Market Survey, interest rates for a 30-year fixed rate mortgage have increased by half of a percentage point, to around 4.5%, in 2018. This is still significantly lower than recent history.
The interest rate you secure when buying a home not only greatly impacts your monthly housing costs, but also impacts your purchasing power.
Search Homes For Sale. We have a complete Multiple Listing Service (MLS) of residential houses for sale in Lake Balboa, Arleta, Reseda, Mission Hills, North Hills, North Hollywood, Panorama City, San Fernando, Sun Valley, Sylmar, Van Nuys, Castaic, Valencia, Canyon Country, Newhall, Stevenson Ranch, Saugus, Santa Clarita, or any other Los Angeles, San Fernando Valley or Santa Clarita Valley Real Estate.