Did you know that U.S. home prices increased by more than 5% during 2019? In fact, according to the Federal Housing Finance Agency (FHFA) housing price index, home prices have risen by about 50% since 2012 and are more than 22% higher than the previous peak in 2007.
According to mortgage experts, Black Knight's January 2020 Mortgage Monitor Report:
Tappable equity – the amount available for homeowners with mortgages to borrow against before reaching a maximum combined LTV of 80% – eased seasonally in Q4 2019.. but is still, at $6.2T, tappable equity marked its highest year-end total on record
There are currently 44.7M homeowners with equity available to tap via cash-out refinance or home equity line of credit (HELOC)
The average homeowner holds $119K in tappable equity, up $8400 from the same time last year
If you need money to improve your financial situation, including home improvements, consolidate debt, or pay for college expenses and have equity in your home, then consider a cash-out mortgage.