Pandemic no match for equity growth

The COVID-19 pandemic has had a negative effect on many aspects of the housing market. One positive, however, was a rise in home values and equity. Here’s more from ATTOM Data Solutions¹:

• In its second quarter U.S. Home Equity & Underwater Report, ATTOM noted that 15.2 million residential properties were considered equity rich. This means that the combined estimated amount of loans secured by those properties was 50% or less of their estimated market value.
• At one point in the second quarter, the percentage of equity-rich properties hit 27.5%.
• Forty-nine of 50 states saw an increase in equity-rich homes. Meanwhile, just one in 16 homes nationwide was considered “seriously underwater,” which is when a loan balance is at least 25% more than the property’s estimated market value.

As always, it is a pleasure staying in touch and sharing important market information.

¹“Home equity levels improve across nation in second quarter of 2020 despite coronavirus pandemic,” ATTOM Data Solutions, last updated August 6, 2020.