Your Equity, Your Advantage
If you're a homeowner contemplating selling your home, it's natural to have reservations, especially in a market where mortgage rates are trending higher. However, understanding your home equity can be a game-changer, providing the confidence you need to move forward.
Understanding Equity
Equity represents the current value of your home minus your outstanding mortgage balance. Recent years have witnessed a substantial growth in home equity, driven by soaring property values. Although the housing market is stabilizing, the demand for homes still outpaces supply, resulting in rising home prices. Rob Barber, CEO of ATTOM, a property data provider, explains, "Equity levels were high even during the recent downturn, and now they are going back up and better than ever."
Benefits of Equity in Today's Market
In the current housing market, with its affordability challenges, your accrued equity can be a significant advantage when you decide to move. The data from ATTOM and the Census reveals that nearly 70% of homeowners have either paid off their mortgages or possess at least 50% equity. This means that a substantial portion of homeowners currently holds significant equity in their homes.
When you sell your house, you can leverage this equity for your next purchase. It can be used as part or all of your next down payment, potentially enabling you to make a larger down payment and reduce your financing needs. If you've lived in your current home for an extended period, you might have accumulated enough equity to buy your next home outright, freeing you from concerns about current mortgage rates.
Discover Your Equity
To determine the amount of equity you have, reach out to a trusted real estate agent for an equity assessment.
If you're considering a move, the equity you've built in your current home can significantly impact your next steps. To gain insights into your home's equity potential and how to make the most of it for your next purchase, don't hesitate to connect with us. Your home equity can open doors to new opportunities in the real estate market.
