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.