Considering Selling Your Home? Your Equity Could Make All the Difference
If you're thinking about selling your home, you're likely weighing several factors.
One common concern in today’s housing market is affordability.
Fortunately, understanding how much equity you've built in your home can help simplify your decision.
Here are two key factors that significantly impact your equity.
1. Homeowner Tenure: How Long Have You Lived in Your Home?
One major factor in your home equity is how long you've lived there.
According to data from the National Association of Realtors (NAR), homeowner tenure has increased significantly.
From 1985 to 2009, the average homeowner stayed in their house for about six years.
Today, that number has climbed to an average of 10 years.
Why does this matter? The longer you own your home, the more equity you build through mortgage payments and rising home prices.
If you’ve owned your home for several years, you might be sitting on significant equity that could work in your favor when selling.
2. Home Price Appreciation: How Much Has Your Home's Value Increased?
Home prices have appreciated considerably over the past several years.
According to the Federal Housing Finance Agency (FHFA), home values have increased dramatically, especially over a longer period.
A homeowner who’s owned their house for five years may have seen its value increase by nearly 60%.
Homeowners with a 30-year tenure could see their property’s value triple over that time.
This means that no matter your reason for selling—whether downsizing, relocating, or moving closer to loved ones—the equity you've accumulated could be a powerful tool in your next move.
Bottom Line:
Ready to Use Your Home Equity? Let’s Connect
Your home equity could be a game-changer when selling and purchasing your next home.
If you're curious about how much equity you’ve built and how it can benefit your next real estate decision, contact us today.
