Key Takeaways:
- Good news for homeowners: home equity values are still way up
- Equity can help you make a shift in the next phase of your life
- Contact Linda Craft Team Realtors to get your expert equity advice!
Now that you’ve made all your monthly mortgage payments on time and seen your equity growth over the last few years, it’s worthwhile to consider how you can use your equity to help you achieve your goals. Home equity builds over time, and according to the latest Equity Insights Report from CoreLogic, the average homeowner has almost $300,000 in equity right now.
It’s essential to understand your assets and how you can leverage them. Your local real estate professional is the best resource to help you know how much equity you have and advise you on ways to use it. Here are a few examples.
Right-size your home for your lifestyle
Everything changes over time, and the same is true regarding what size and kind of house you require. For example, it might be time to move into a larger home if you no longer have the needed space and feel cramped. Or you may need something smaller that’s less time-consuming to maintain. No matter the situation, your equity can power a move into a home that fits your changing lifestyle.
Or perhaps it may be time to upgrade your house. If so, you can put your equity toward a down payment on the home of your dreams. And if you’re planning to downsize, you may be surprised that your equity may cover some, if not all, of the cost of your next home. Your local real estate advisor can help you figure out how much equity you have and how to use it best.
Reinvest your gains in your current home
In 2022, 39% of homeowners reported that they would invest in home improvement projects if they chose to access their equity, according to a recent survey from Point. Your untapped home equity is an excellent resource to invest in and upgrade your living space.
Home improvement projects allow you to customize your home to suit your current needs and sense of style. Just remember, as with any updates you make, some renovations add more value to your home and are more likely to appeal to future buyers than others. A recent report from the National Association of Realtors (NAR) shows refinishing or replacing wood flooring has a high-cost recovery. Your local real estate professional will have the best advice on projects to invest in to get the greatest return when you sell.
Check items off of your bucket list
Home equity isn’t just for moving and upgrades. Did you know you can also access your equity to help you achieve the life goals you’ve always dreamed of? That could mean investing in a new business venture, retiring, taking that bucket list destination vacation, or funding education. While you shouldn’t use your equity for unnecessary spending, leveraging it to start a business or putting it toward education costs can help you achieve other lifelong goals.
Let’s Put Your Equity to Work
Your equity can be a game changer, and working with the best real estate team in the Triangle will ensure you have the professional, expert advice to make the most of your money. Contact Linda Craft Team Realtors today to put your equity to work!