Home prices in September were up more than 6 percent compared to a year ago and look to be up another 5 percent by this time next year, according to the September CoreLogic U.S. Home Price Report— and a corresponding rise in home equity has been a boon to homeowners.
“Home equity wealth has doubled during the last five years to $13 trillion, largely because of the recovery in home prices,” said Frank Nothaft, Chief Economist for CoreLogic. “Nationwide during the past year, the average gain in housing wealth was about $11,000 per homeowner, but with wide geographic variation.”
Anand Nallathambi, President and CEO of CoreLogic, shared a similar sentiment saying, “Home price growth creates wealth for owners with home equity. A 5 percent rise in home values over the next year would create another $1 trillion in home equity wealth for homeowners.”
Compared to August, September’s home prices nationally were up about 1 percent. CoreLogic expects October’s prices to inch upwards by 0.3 percent.
What will the latest CoreLogic Home Price Index hold, set to release on Tuesday, November 6th?