Shari Noctor
Shari Noctor
REAL ESTATE UPDATE

  company
       

 



               


WHY HOME EQUITY IS A BRIGHT SPOT IN THE HOUSING MARKET





Given how we have seen more unemployment claims than ever before over the past several weeks, fear is spreading widely. Some good news, however, shows that more than 4 million initial unemployment filers have likely already found a new job, especially as industries such as health care, food and grocery stores, retail, delivery, and more increase their employment opportunities.


Breaking down what unemployment means for homeownership, and understanding the significant equity Americans hold today, are important parts of seeing the picture clearly when sorting through this uncertainty.

One of the biggest questions right now is whether this historic unemployment rate will initiate a new surge of foreclosures in the market. It’s a very real fear. Despite the staggering number of claims, there are actually many reasons why we won’t see a significant number of foreclosures like we did during the housing crash twelve years ago. The amount of equity homeowners have today is a leading differentiator in the current market.

Today, according to John Burns Consulting, 58.7% of homes in the U.S. have at least 60Z% equity.  


That number is drastically different than it was in 2008 when the housing bubble burst. The last recession was painful, and when prices dipped, many found themselves owing more on their mortgage than what their homes were worth. Homeowners simply walked away at that point.


Now, 42.1% of all homes in this country are mortgage-free, meaning they’re owned free and clear. Those homes are not at risk for foreclosure 
(see graph below):









In addition, CorelLogic notes the average equity mortgaged homes have today is $177,000. That’s a significant amount that homeowners won’t be stepping away from, even in today’s economy (see chart below):







In essence, the amount of equity homeowners have today positions them to be in a much better place than they were in 2008.


Bottom Line
 

The fear and uncertainty we feel right now are very real, and this is not going to be easy. We can, however, see strength in our current market through homeowner equity that has not been there in the past. That may be a bright spark to help us make it through.



Source: KeepingCurrentMatters

  





















     
  DID YOU KNOW?
 



   
  Iowa’s Field of Dreams is real  
 
 





View Listing
5633 Fresh Meadow Drive
View Listing
6450 Riverview Road







 

     
   
     









 

 

         

  box
         




           

  TRENDING



GENERAL NEWS & VIEWS
Feature Photo  
WHY YOU SHOULD NEVER SQUASH ANTS IN YOUR HOME (AND WHAT TO DO INSTEAD)
Think squashing ants keeps your kitchen safe? Think again. Discover why it actually invites more ants, and what to do instead.
 MORE


Feature Photo  
7 SURPRISING AND BENEFICIAL WAYS MINIMALISM RESETS YOUR BRAIN
Did you know there are seven key ways that minimalism in the home resets your brain?
 MORE


Feature Photo  
HOW TO FIND THE BEST SMALL BUSINESS IDEA FOR YOU
No matter which direction you go, your business should align with your strengths, your lifestyle, and your dreams.
 MORE





INTERESTING READS


Feature Photo  
6 SIGNS YOUR LAWN MOWER BLADE NEEDS SHARPENING
Patchy grass? Dull color? Your mower blade might be to blame. Here are 6 clues it's time to sharpen it.
 MORE


Feature Photo  
WHAT MAKES A HOTEL EARN THOSE COVETED 5 STARS?
It’s more than just marble floors and fancy pillows.
 MORE


Feature Photo  
HOW PEOPLE ACTUALLY RETIRE EARLY AND WHAT YOU CAN LEARN FROM THEM
Early retirement doesn’t have to be a fantasy. With the right mindset, smart habits and a commitment to learning, it can be an achievable goal.
 MORE






 
           




         

 
 
Shari Noctor 
610-730-8067
[email protected]
AB061614L

         



       


                   

   



 
Shari Noctor 
610-730-8067
[email protected]
AB061614L




   



   



 
Shari Noctor 
610-730-8067
[email protected]
AB061614L