For the second consecutive year, our Data Science team here at Unison has released the Home Equity Report. The new report highlights a steep increase in home equity in the past year, with U.S. households today sitting on over $29 trillion worth of home equity! This number is a 19.5% increase from a year ago, and 80% from five years ago.
The data in the report shows significant regional variations in home equity values; however, all 50 states saw positive growth in median home equity. Though Hawaii and California (perhaps predictably) have the highest median home values, Utah and Delaware have actually seen the strongest growth. The report features multiple other geo-specific data sets, including the metros with the lowest home equity values and weakest growth.
Home equity tends to increase with the years of homeownership. The report demonstrates that this increase coincides with many homeowners’ growing financial needs–healthcare, for example, or home renovations. With the additional nebulousness of the current market, the solution is clear. Winfield Xu, our Director of Data Science comments, “Instead of keeping the wealth locked up in their properties, homeowners may want to examine the roles of their homes as an accessible source of liquidity.”
You can read the full 2022 Home Equity Report here.