
Homeowners Lost $2K in Equity Across Mass., $5.9K in Boston Area
The analysis by CoreLogic economists shows American homeowners with mortgages lost a combined $108.4 billion in home equity last quarter on a year-over-year basis.
The analysis by CoreLogic economists shows American homeowners with mortgages lost a combined $108.4 billion in home equity last quarter on a year-over-year basis.
Homeowners are increasingly tapping their equity, taking advantage of big gains following years of soaring housing prices.
While banks and credit unions have long dominated the market for home equity lines of credit, Massachusetts has seen other lenders – both familiar and new – make headway in the second mortgage market amid rapid changes to the industry.
More homeowners – and lenders – are turning to home equity loans and lines of credit in the face of historic levels of tappable equity and rising mortgage rates that make cash-out refinances unattractive.
The average Massachusetts homeowner gained $31,000 in equity in the third quarter on a year-over-year basis, CoreLogic reported, nearly double the national average.
Hometap, a Boston-based fintech that provides an alternative for tapping into home equity without taking on debt, has secured $100 million in new financing.
By identifying customers with significant home equity value, lenders can target a sizable market to cross-sell home equity products and serve customers’ needs to fund home improvements, pay off credit cards and student loans, or make other large purchases.
Changes to reporting requirements under the Home Mortgage Disclosure Act have given small credit unions a bumpy ride in 2018, leaving them to contemplate changing their internal processes, systems and product offerings.
It’s official: Despite widespread fears to the contrary, the IRS has clarified that last year’s big tax bill did not kill all interest deductions on home equity lines of credit and equity loans.
Americans readily gossip about home values – “Did you hear the crazy high price the house down the street sold for?” “Did you hear how little our neighbors were forced to take on their sale?”
Do we really need another Zillow Zestimate-style online gizmo to tell us what a computer model says our homes are worth?