Homeowners in the U.S. are continuing to reap the benefits of a competitive housing market. Home equity levels, as reported by CoreLogic, climbed $428 billion since the second quarter of 2018. Negative home equity decreased over the same period with the total number of mortgaged residential properties in the red declining to 7 percent.
In addition to rising home market prices driving equity levels higher, homeowners have leveraged low mortgage rates to utilize a cash-out refinance and have reinvested those funds in home renovations which increase values as well.
California homeowners have seen home equity gains of approximately $2,000 year-over-year.
Today, conforming no-point 30-year fixed mortgage rates are averaging 3.75 percent and 15-year rates are near 3.125 percent.
Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.