From the article:
Homeowners with mortgages continue to see their equity increase in their home, according to the Q2 2017 Home Equity analysis from CoreLogic, a property information, analytics and data-enabled solutions provider.
Home equity for all homeowners with a mortgage, about 63% of total homeowners, increased a total 10.6% annually, or $766 billion since the second quarter of 2016, according to the report.
Individually, homeowners earned an average $12,987 in equity between the second quarter of 2016 and the second quarter of this year. Western states saw even higher increases with average homeowners in Washington gaining $40,000 in equity and those in California gaining $30,000 since last year.
This is GREAT news on the housing front. This is especially relevant in a few key areas:
1. Refinances. If you did not have the equity before, you may now. With rates still low, you should be calling a lender right away. I would recommend calling the one who is giving you the information as he is awesome.
2. Homeowners with Mortgage Insurance. You may be in a position to get rid of it. This is definitely worth exploring.
3. Homeowners considering renovation. This additional equity can be put to work modernizing your home or fixing deferred maintenance.
4. Seller. This could be a great time to sell. Low inventory means better return for you. If you are considering a sale, consult a real estate professional to take the best advantage of this opportune time.
5. Divorcing/Divorced Homeowners – If you have a divorce decree requiring that you refinance, the low loan-to-value afforded by this increase in value coupled with low rates represents the BEST opportunity. If either or both change, you could find yourself in a tough situation where a refinance may not be possible.