The report also revealed:
- The average homeowner gained approximately $14,900 in equity during the past year.
- Compared to Q3 2016, negative equity decreased 22% from 3.2 million homes, or 6.3% of all mortgaged properties.
- U.S. homeowners with mortgages (roughly 63% of all homeowners) have seen their equity increase by a total of $870.6 billion since Q3 2016, an increase of 11.8%, year-over-year.
The map below shows the percentage of homes by state with a mortgage and positive equity. (The states in gray have insufficient data to report.) As you can see, many states now have 95% or more of their homes with positive equity, with Arizona having 92.8%.
Frank Nothaft, Chief Economist at CoreLogic, believes this is great news for the “housing market.” He went on to say:
“Homeowner equity increased by almost $871 billion over the last 12 months, the largest increase in
more than three years. This increase is primarily a reflection of rising home prices, which drives up home
values, leading to an increase in home equity positions and supporting consumer spending.”
Of the 95.1% of homeowners with positive equity in the U.S., 82.9% have significant equity (defined as more than 20%). This means that more than three out of four homeowners with a mortgage could use the equity in their current home to purchase a new home now.
The map below shows the percentage of homes by state with a mortgage and significant equity. As you can see, there are 28 states where at least 80.0% of homes have more than 20% equity. In Arizona, 75% of homes have significant equity, while the average in the United States is 82.9%.
If you are one of the many homeowners who are unsure of how much equity you have in your home and are curious about your ability to move, I would be happy to meet with you to help evaluate your situation.
If you have any questions about how to list your home and buy a new home simultaneously, just call/text me at 602-295-6807 and I can help answer all of your questions!
Helping to Make a Difference in Your Life
Troy Erickson Realtor