Homeowners Gain Average of $13K in Equity
In the second quarter of this year, homeowners saw their equity increase an average of 10.6 percent—or $12, 987—year over year, according to CoreLogic’s Q2 2017 Homeowner Equity Report. Western states are posting some of the highest upticks in equity. Washington homeowners, for example, saw an average of $40,000 in home equity gains in that period; California homeowners saw increases of about $30,000.
“Over the last 12 months, approximately 750,000 borrowers achieved positive equity,” says CoreLogic chief economist Frank Nothaft. “This means that mortgage risk continues to decline, and given the continued strength in home prices, CoreLogic expects home equity to rise steadily over the next year.”
In the second quarter, 2.8 million homes—or about 5.4 percent of all residential properties—were in negative equity, meaning the owners owe more on their mortgage than the house is worth. The number of properties with negative equity has dropped 21.9 percent year over year, according to CoreLogic’s report.