Among the many benefits of homeownership, equity is a big one. It refers to the amount of a home’s value that belongs to its owner. In other words, it’s the value of your home minus the amount still owed on the mortgage. Obviously, having equity is good – and these days homeowners have a lot of it. In fact, according to ATTOM Data Solutions’ most recent 2023 U.S. Home Equity & Underwater Report, 49 percent of mortgaged residential properties were considered equity rich during the second quarter – meaning their loan balance was no more than half the estimated market value of their home. That’s up from 47 percent during the first quarter and the highest it’s been in at least four years. Rob Barber, ATTOM’s CEO, says the market has bounced back and it’s benefiting homeowners. “The second-quarter market revival bestowed immediate benefits on homeowners around the nation in the form of better profits for sellers and rising equity for those staying put,” Barber said. “Equity levels were high even during the recent downturn, and now they are going back up and better than ever.” (source)
