Hello to all our wonderful readers and future homeowners! We've just received some piping hot real estate tea, and we're here to spill it. If you've been keeping an ear to the ground (or, you know, an eye on those property listings), you'd know that the housing market is as lively as ever. But how lively? Let's dive right into it!
- All-Time High Alert! The Black Knight Home Price Index (HPI) for June 2023 has not just peaked but soared to an all-time high. Imagine that! It's like seeing your favorite stock going through the roof (only, in this case, it's the value of actual roofs).
- Major Markets are Thriving: 30 out of the 50 largest markets in the U.S have seen their prices reach new summits. Especially those in the Northeast, where the peaks have exceeded 2022 highs by a whopping 5-8%.
- Equity is the Name of the Game: Homeowners, you're in for a treat. Overall homeowner equity has scaled to a staggering $16 trillion, with 'tappable' equity (that's the chunk you can borrow against while retaining a 20% equity stake) climbing its way to $10.5 trillion.
- Underwater Homeowners on the Rise: This term might sound like folks who've shifted to Atlantis, but it's a bit less magical. It means homeowners who owe more than their house's worth. While this number has gone up by 70% from last year, it's still 52% less than the 2019 levels. Phew!
Source: Data & Analytics division of Black Knight, Inc. (August 2023 Mortgage Monitor Report)
Now, what's the tea on mortgages? ☕
With all this talk of highs, peaks, and equity, you might be wondering where mortgages fit into the picture. Mortgage-holder equity is sitting pretty above $16 trillion, and the average mortgage holder has around $199K in tappable equity. Exciting, right?
Here's the fun part: strong equity positions, coupled with the historically low-interest rates we've seen, lead to a powerful combination for the mortgage market. Mortgage holders today are in a better position than ever!
But… what if I'm a new homebuyer? 🤔
If you're looking to jump into this bustling market, whether as a first-time homebuyer or a seasoned homeowner looking to refinance or move, you'll want a dedicated team behind you. That's where The Sherry Riano Mortgage Team dances in, ready to make your mortgage journey smooth, understandable, and enjoyable.
Questions about the current market trends, or how to make the most out of your equity? Maybe you're just eager to chat about real estate over a virtual coffee? Reach out to us anytime, and we'll be thrilled to help.
Remember, every peak has its valleys, and every home has its stories. Let's create yours together!
Cheers to new heights and dream homes,The Sherry Riano Mortgage Team 💙🏠