Simply put, having equity means your home is worth more than the amount you owe on it. And, according to ATTOM Data Solutions’ second-quarter 2020 U.S. Home Equity & Underwater Report, there are an increasing number of American homeowners who have it. The report looked at the number of mortgaged properties that could be considered equity rich, which was defined as homes whose estimated market value is at least 50 percent more than the amount owed on them. During the second quarter, 27.5 percent of the 55.2 million mortgaged homes in the country qualified as equity rich. That’s up from 26.5 percent during the first quarter. Todd Teta, chief product officer with ATTOM, says the improvement is another sign of the market’s strength despite a challenging environment. “Homeowners saw their equity rise far and wide throughout the United States during the second quarter of this year in yet another sign of the housing market punching back against the coronavirus pandemic,” Teta said. “More property owners rose into equity-rich territory and escaped the seriously underwater lane, putting more money into the average household.” (source)
