Record number of California homeowners living mortgage-free

Record number of California homeowners living mortgage-free

Record number of California homeowners living mortgage-free
The surety of owning your home free and clear is a long-term goal for many homeowners but in California, one-in-five are already living that dream. According to a report from Construction Coverage, a building industry information service, 20.1 percent of California homeowners don’t have a mortgage.

While this is slightly below the 26.4 percent average nationwide, in the pricey California market, being mortgage free is quite a feat. Mortgages allow California residents to spend more on a home purchase. California’s median home value for a non-mortgaged home is $450,000 compared to $535,000 for those with a mortgage.

Only five states had a smaller percentage of residents without a mortgage than California: Maryland (16.6 percent), Massachusetts (19.2 percent), Utah (19.3 percent), Rhode Island (19.6 percent) and Colorado (19.7 percent).

Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 3.0 percent and 15-year rates are near 2.625 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.