Despite three years of a solid recovery in home prices, a surprising number of homeowners don't realize what they've gained.
Most underestimate what their home is worth and, consequently, the amount of home equity that they could draw upon. Even more striking, just more than half of homeowners with a mortgage don't expect to gain any equity in 2016, despite rising home prices. It may be why home equity lines of credit are far less popular today than they were even before the housing boom.
"Homeowners who bought during the housing boom are regaining equity many thought was lost forever, yet too many are not aware of the equity they have gained or they are unclear about how to determine changes in their equity,"
Bad news for local house hunters: Orange County had the nation’s third-worst home-affordability score as 2015 ended.
The National Association of Home Builders/Wells Fargo Housing Opportunity Index for the fourth quarter showed 16 percent of Orange County homes bought in the quarter were “affordable” to the median household income vs. 16.2 percent in the previous quarter and 17.1 percent a year ago. The last time Orange County affordability by this measure was lower was the fourth quarter of 2008.
Why is affordability down? Well, the local median income of $85,928 rose 2.97 percent in a year, but the median selling price of a home of $625,000 was up 6.84 percent in a year.
Nationally, this NAHB/Wells index showed 63.3 percent of
Nearly half (46 percent) of all U.S. homeowners with a mortgage expect their equity will increase in 2016, even though three out of five (60 percent) report equity in their homes has already increased during the last three years of the housing recovery, according to new research conducted for loanDepot.
Of those who expect their equity to change this year, 85 percent expect it to rise as much as 10 percent, with a quarter (27 percent) expecting it to rise between 6 to 10 percent. More than half (58 percent) are expecting an equity bump between one and five percent. Industry-wide reports forecast 2016 annual price gains to range between 2.3 and 4.7 percent. Only 3 percent of homeowners expect their equity to fall in 2016, and 27 percent expect it to remain
Simplifies the way Californians transfer real-property assets upon death through use of a simple form. The legislation will be the most affordable alternative available to hiring an estate-planning attorney or facing the daunting and bureaucratic probate process.
Legislation creating a non-probate method for conveying interest in real property upon death, Assembly Bill 139, has been signed into law by Governor Brown. The new law, which accomplishes the transfer by means of revocable transfer upon death deed (RTDD), becomes effective January 1, 2016. The RTDD automatically transfers ownership the property - defined to include 1 to 4 units, a condo, or agricultural land of 40 acres or less - upon the
RealtyTrac® (www.realtytrac.com), the nation’s leading source for comprehensive housing data, today released its Year-End 2015 U.S. Home Sales Report, which shows that U.S. home sellers in 2015 realized an average price gain since purchase of 11 percent ($20,378), the biggest average price gain for U.S. home sellers since 2007 — an eight-year high.
The 11 percent average price gain in 2015 marked the second consecutive year where U.S. home sellers realized an average price gain following six consecutive years where U.S. home sellers realized average price losses.
“With some local market exceptions, the 2015 home sales data paints the picture of a properly functioning U.S. housing market where homeowners can once again count on real estate as an