Making The Most Of Your Equity

For homeowners in Maine, the decision to sell may be somewhat clouded by concerns about higher mortgage rates on the next property. However, understanding your home equity can shine a light on the true opportunities available to you right now.

Demystifying Home Equity

Home equity is essentially the difference between your home's current market value and the amount you owe on its mortgage. Recent trends have seen this equity skyrocket at unexpected rates.

With Maine's property values enjoying substantial growth over the past couple of years, homeowners have witnessed a swift expansion in their equity. Despite some market stabilization, a gap remains between available homes and eager buyers in the state. High demand has fueled increasing home prices. As Rob Barber, CEO of ATTOM, a renowned property data firm, states:

“Equity levels were high even during the recent downturn, and now they are going back up and better than ever.”

How Maine Homeowners Can Leverage Equity Today

Amidst the prevailing affordability challenges, the equity you've built up in your Maine home could be a decisive advantage. According to ATTOM and Census data, a significant 68.7% of homeowners either own their homes outright or have accrued over 50% equity.

For Maine homeowners, this indicates an abundance of equity to tap into.

On selling, this equity can become a critical asset in your next property purchase. It can cover a sizable chunk, if not all, of your next down payment. For those who've stayed in their home for an extended period, the equity might even suffice to make an all-cash purchase, sidestepping concerns over current mortgage rates.

Determining Your Home's Equity

For a precise understanding of your equity, Maine homeowners should consult with a local real estate expert for a Professional Equity Assessment Report (PEAR).

In Conclusion

For those in Maine considering a change, your home's equity might just be the ticket to your next dream property. If you're keen to explore how much equity you have and how it can fund your next move, let's touch base.