Even as the housing market is rapidly cooling, homeowner equity rose again in Q3, according to ATTOM Data’s Q3 2022 Home Equity & Underwater Report. The report found that 48.5% of mortgaged residential properties were considered equity-rich, up from 48.1% in Q2 and from 39.5% a year earlier. This is a slower increase than previous quarters, but still the 10th quarter of gains. “Even though home price appreciation has slowed down dramatically in recent months, homeowners have continued to build equity,” said Rick Sharga, executive vice president of market intelligence at ATTOM. At least half of mortgagees in twenty states are now equity-rich, compared to only seven states at the same time last year. In total, 94.3% of all mortgage…
Most Americans want their parents to age comfortably in their own homes, but it can be a challenge for both families and the housing market. Three out of four adults want their parents to be able to age in their own homes, but more than half of Gen Xers don’t feel financially prepared to assist their parents in old age, according to a new study from American Advisors Group. AAG surveyed 1,500 adults aged 40-55 who have senior parents. “The retirement savings crisis is real, and many Gen X adult children are telling us that caring for their parents will be extremely difficult and potentially unattainable,” said Eddie Herda, AAG VP of Brand Strategy. Herda said there is interest in…
Home prices have risen 42% since the beginning of the pandemic and have gained 9% in value since the first of the year, with equity reaching another all-time high, according to Black Knight’s latest Mortgage Monitor Report. Black Knight reported that the annual rate of appreciation dropped slightly to 19.9% in April, down from an upwardly revised 20.4% for March. Despite this, rising prices and interest rates have brought about the worst affordability since July 2006. “While a downward shift from 20.4% to 19.9% annual growth is hardly cause for concern, it’s also likely we’ve not yet seen the full impact of recent rate increases. Rather, April’s decline is more likely a sign of deceleration caused by the modest rate…
Millennials spend more of their monthly income on homeownership costs than other generations and are at the greatest risk of becoming house-rich and cash-poor, according to a new study from Hometap. The study, a survey of 1,000 US homeowners, found that 83% of millennials carry at least some debt, compared to 72% of baby boomers. Of everyone surveyed, 47% were negatively impacted by the pandemic, and 77% carried some debt. More than a quarter of all homeowners say they plan to tighten their budgets until their debts are paid. But as homeownership costs rise, paying down the debts may become increasingly difficult. Hometap found that 52% of homeowners spend at least 16% of their monthly income on mortgages, and 46%…
American homeowners gained a record $1 trillion in tappable equity in the second quarter of 2021, a single-quarter record according to mortgage data company Black Knight, Inc. That brings the total equity available to $9.15 trillion, up 37 percent in a single year. “Such strong equity positions should help limit the volume of distressed inflow into the real estate market as well as provide strong incentive for homeowners to return to making mortgage payments – even if needing to be reduced through modification,” said Ben Graboske, Black Knight president of data and analytics. According to their latest Mortgage Monitor report, this available equity comes even as loans against home equity surged. “The 1.1M cash-outs originated in Q2 were the largest quarterly volume…
