The Average Homeowner Gained More than 55k in Equity over the Past Year

Equity, is the current value of your home minus what you owe on a loan. According to an article by Keeping Current Matters, the average homeowner gained more than 55k in equity over the past year.

This is incredible news for homeowners. The CoreLogic Homeowner Equity Insights report shows that in the fourth quarter of 2021, the average homeowner gained approximately $55,300 in equity during the past year — with Hawaii, California, and Washington experiencing the largest average equity gains at $128,300, $117,000 and $95,500 respectively. 

(image source: Core Logic)

“Home prices rose 18% during 2021 in the CoreLogic Home Price Index, the largest annual gain recorded in its 45-year history, generating a big increase in home equity wealth. For low- and moderate-income homeowners, home equity has historically been a major source of wealth”

- Dr. Frank Nothaft
Chief Economist for CoreLogic

(Steven Thomas’s Orange County Housing Report 03.21.22)

Housing inventory is critically low — as see in Steven Thomas’s Orange County Housing Report, as of March 21st, “There are only 1,556 homes available to purchase in all of Orange County. There were 2,349 homes last year, still tragically low, but 51% more than today.”

Bottom line is, with the state of the market — high buyer demand and very low housing supply — home values are skyrocketing. These skyrocketing home values are leading to a rise in your equity which helps you build your overall net worth (and give you $$ to use for your down payment) that can help fuel your move. Which is great news for homeowners everywhere.

If you’re interested in buying or selling your home, reach out to one of our agents today: