2021 Agent Rankings Now Live!

RealTrends + Tom Ferry announce the 16th annual The Thousand list of America’s top 1,000 real estate sales professionals and teams.

Market Leaders

Ranking the top residential real estate firms in over 160 different metropolitan markets.

Florida Realtors® leaders advocate for affordable housing

It sounds simple: housing trust funds should be used for affordable housing. Florida Realtors wants a constitutional amendment securing this.

Newsletter

The RealTrends BrokerSource and HousingWire OpenHouse newsletters deliver twice weekly information on trends, strategies, analysis, people, and news shaping the real estate industry.

CoreLogic Reports Strong Economy Boosts Homeowner Equity by About $1 Trillion in the Second Quarter of 2018

CoreLogic Reports Strong Economy Boosts Homeowner Equity by About $1 Trillion in the Second Quarter of 2018

·       The share of properties in negative equity fell to 4.3 percent in the second quarter 2018

·       Approximately 221,000 residential properties regained equity compared with the first quarter of 2018

·       About 2.2 million mortgaged residential properties are still in negative equity

CoreLogic® (NYSE: CLGX), a global property information, analytics and data-enabled solutions provider, today released the Home Equity Report for the second quarter of 2018. The report shows that U.S. homeowners with mortgages (which account for roughly 63 percent of all properties) have seen their equity increase by 12.3 percent year over year, representing a gain of nearly $981 billion since the second quarter of 2017.

Additionally, the average homeowner gained $16,200 in home equity between the second quarter of 2017 and the second quarter of 2018. While home equity grew in almost every state in the nation, western states experienced the most significant increases. California homeowners gained an average of approximately $48,800 in home equity, and Washington homeowners experienced an average increase of approximately $41,100 in home equity (Figure 1).

From the first quarter of 2018 to the second quarter of 2018, the total number of mortgaged homes in negative equity decreased 9 percent to 2.2 million homes or 4.3 percent of all mortgaged properties. Year over year, the number of mortgaged properties in negative equity fell 20.1 percent from 2.8 million homes – or 5.4 percent of all mortgaged properties – in the second quarter of 2018.

“Homeowner properties continued to increase in value this quarter with homeowners gaining an average of $16,200 in home equity wealth,” said Dr. Frank Nothaft, chief economist for CoreLogic. “When aggregated across all homeowners that totals almost $1 trillion in gains in home equity wealth. This wealth gain will support additional consumption spending and home improvement expenditures in coming years.”

Negative equity, often referred to as being underwater or upside down, applies to borrowers who owe more on their mortgages than their homes are worth. Negative equity can occur because of a decline in a home’s value, an increase in mortgage debt or both. Negative equity peaked at 26 percent of mortgaged residential properties in the fourth quarter of 2009, based on the CoreLogic equity data analysis which began in the third quarter of 2009.

The national aggregate value of negative equity was approximately $279.8 billion at the end of the second quarter of 2018. This is down quarter over quarter by approximately $5.5 million, from $285.3 billion in the first quarter of 2018.

“Negative equity levels continue to drop across the US with the biggest declines in areas with strong price appreciation,” said Frank Martell, president and CEO of CoreLogic. “Further, the relatively low level of shadow inventory contributes to the chronic shortage of housing supply and price increases in many markets.”

For ongoing housing trends and data, visit the CoreLogic Insights Blog

Most Popular Articles

eXp Realty almost doubles agent count

eXp World Holdings, Inc., the holding company for eXp Realty announced that it has exceeded 60,000 agents globally. This represents a year-over-year increase of 85% when compared to 32,403 agents in July 2020.

Jul 26, 2021 By

Latest Articles

New England Real Estate Network MLS adds shareholder

As a shareholder, Greater Newburyport Realtors gains inclusion in an MLS accepting listings throughout New England. They have representation in NEREN’s governance and are eligible to be included in various leadership and committee positions. Board members provide leadership to the MLS and its 12,000 plus system users. 

Jul 30, 2021 By