Rising

home
prices
were
a
stressor
for
buyers
who
wanted
to
enter
the

real
estate
market
in
2024.
But
some
existing
homeowners
and
investors
may
feel
differently
as
a
trend
of
home
equity
growth
was
found
across
45
states.

Home
equity
solutions
provider


Unison
released
its

2024
Home
Equity
Report
on
Tuesdsay.
The
report
surveys

home
equity
growth
trends
on
a
regional
and
national
basis,
tapping
into
data
from
the

Case-Shiller
Index
and


Federal
Reserve
to
determine
price
increases
and
equity
levels.
Unison
defines
home
equity
as
“the
difference
between
a
property’s
market
value
and
the
outstanding
mortgage
balance.”

Unison’s
report
highlighted
major
growth
for
U.S.
home
prices.
The
national
market
experienced
a
4.5%
annualized
increase
in
home
prices
as
of
July.
The
report
noted
that
most
of
the
growth
“occurred
in
the
first
half
of
2024,
with
the
index
rising
by
4.7%
year-to-date.”

Home
equity
also
grew
based
on
higher
prices,
reaching
$35
trillion
at
the
end
of
the
second
quarter.
The
aggregate
value
of
homes
surpassed
$48
trillion.
Comparatively,
Unison
highlighted
U.S.
home
equity
of
$31
trillion
and
$44
trillion
in
total
value
as
of
Q2
2023.

“The
2024
housing
market
has
demonstrated
significant
growth
and
resilience,
overcoming
headwinds
from
high

interest
rates
to
achieve
a
remarkable
surge
in
home
equity,”
Unison
noted
in
the
report.

“Our
report
reflects
the
dynamic
changes
in
the
housing
market
and
provides
an
in-depth
look
at
how
regional
differences
can
impact
homeowner
equity,”
Unison
President
Ryan
Downs
said
in
a
statement.
“With
home
equity
reaching
new
heights,
our
findings
underscore
the
critical
role
it
plays
in
household
wealth
and
the
importance
of
innovative
financial
solutions.”

Unison
also
analyzed
equity
growth
on
a
regional
basis.
Since
September
2023,
it
found
that
home
equity
growth
has
been
positive
in
45
states.
Three
states
in
the
Northeast
and
Mid-Atlantic
regions
experienced
the
highest
growth
rates.

Connecticut
led
the
nation
with
a
home
equity
growth
rate
of
24.6%,
followed
by

New
Jersey
(+22.3%)
and
Delaware
(+18.3%).

Hawaii
and

California
also
stood
out
with
the
highest
median
home
equity
values
of
$564,728
and
$497,558,
respectively.

Additionally,
the
report
analyzes
home
equity
performance
in
Core
Based
Statistical
Areas
(CBSAs)
—
a
term
for
adjacent
counties
integrated
with
a
core
urban
area.
The
Dover,
Delaware
area
experienced
35.7%
annualized
home
equity
growth.
The
New
Jersey
areas
of
Trenton-Princeton
(+34.6%)
and
Atlantic
City-Hammonton
(+34.5%),
rounded
out
the
top
three.

Despite
growth
in
most
states,
others
remained
stagnant
or
declined
in
2024.
Mississippi,
Louisiana
and
Idaho
saw
the
largest
equity
declines
among
all
states.
Oklahoma
had
the
lowest
median
home
equity
value
at
$118,331
—
roughly
one-fifth
of
Hawaii’s
median
value.
And
among
the
CSBAs
analyzed,
New
Mexico
had
the
sharpest
declines,
with
three
areas
dropping
by
more
than
30%.

The
report
points
out
that
home
equity
accounted
for
one-fifth
of
household
net
worth
in
the
second
quarter
of
2024.
With
rapid
price
increases
and
equity
gains,
Unison
urged
homeowners
to
“consider
realizing
some
of
these
gains,
especially
if
they
have
liquidity
needs.”

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