In today’s economy, you should understand what your biggest asset is really worth. It could be life changing.
When was the last time you checked on the value of your home?
If it’s been more than a year, then it’s time to find out.
Most homeowners know they’ve built up significant equity in their homes, but they don’t know how much it is exactly – especially if they’ve lived in the house for a while.
If you’ve been in your home for 10, 20, or 30 years, wouldn’t you want to know if you’re sitting on $300-400k in potential equity right now?
We know that sounds hard to believe, so we put together this chart so you can see the math:
In today’s economy, you should understand what your biggest asset is really worth. It could be life changing.
So, if you want to know the current value of your home, please let us know and we’ll send you a current assessment. You can always find us at 508-388-1994 or msennott@todayrealestate.com.
You may be surprised at what your home is really worth.
If you’re a homeowner, chances are you’ve built up a lot of wealth – just by living in your house and watching its value grow over time. And that equity? It’s something that could help change your child’s life.
Since affordability is still a challenge, a lot of first-time buyers are struggling to buy a home in today’s market. Even if they have a stable job and a solid plan, buying can still feel out of reach. But that’s where your equity could make all the difference.
To give you an idea, the average homeowner with a mortgage has $311,000 worth of equity, according to Cotality (formerly CoreLogic). That’s significant. And some parents are using a portion of their equity to help their children become homeowners, too.
According to Bank of America, 49% of buyers between 18 and 26 got money from their parents to use toward their down payment (see chart below):
Even though the data doesn’t specify how many parents used their equity, the wealth they’ve built through homeownership may have helped make it possible – especially given how much equity the average homeowner has today.
While what’s right for each person’s specific situation will vary on a case-by-case basis, that’s a powerful legacy to pass on. It helps those younger people buy a home, build equity of their own, and begin the next chapter of their life with a little less financial stress and a lot more stability. And for those parents? It’s a way to turn what they’ve built into something deeply meaningful.
This isn’t just about money. For many homeowners, it’s about being the reason their child gets to say, “we got the house.” And giving them the kind of head start they might’ve only dreamed of at their age. And here’s the part that really sticks. Compare the Market says:
“Of those who did receive monetary aid from parents and grandparents to buy a house, 45% of Americans said they would not have been able to purchase a house without financial support from parents and grandparents.”
Bottom Line
Your equity could be the thing that makes homeownership possible for your children when they might not be able to do it on their own. So, here’s the question.
If helping your kids buy a home was more feasible than you thought, would you want to explore that option?
If you want to learn more or find out the best way to make it happen, talk to your lender and a financial advisor you trust.
If you’re not working with a lender, we can recommend several who we have worked with over the years and trust. Let us know if we can help.
Mari and Hank
The information contained, and the opinions expressed, in this article are not intended to be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision.
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