Corelogic conducts research in the housing market and found that the average increase in home equity in 2023 for California was $51,000! In fact, California was ranked #2 for the Top 10 States with the Biggest Rise in Home Equity, ranking behind Hawaii as #1.
California real estate is historically a safe investment because it is in high demand. Although the housing market goes up and down and macroeconomic conditions vary, in general, real estate keeps pace with inflation and is a popular investment for many Americans.
California also has one of the lowest rates of negative equity, which is when a homeowner owes more than their home is worth. According to Corelogic, only “0.6% of Californian homes have negative equity”.
Why does this matter to you as a homeowner? New headlines can tell sensationalized stories about the real estate market, whether it is a good time to sell and more. Many homeowners in California have tens of thousands — if not a couple hundred thousand — of dollars in home equity. When they sell, they can purchase a replacement home, cash out, or use the money for retirement.
You can’t “see” your home equity and it doesn’t have a separate account at the bank where you can watch the number grow, but if you are curious about how much money you would make if you sold your home this month, then contact a KALEO agent and they will generate a “Home Value / Equity Report” and they can figure out what you would walk away with.
Take care!
