Equity soars in third quarter, hottest markets in the state
Are you feeling richer?
You should, if you’re like many homeowners in the state.
Fast-rising home prices in most of the state, especially the Bay Area and Southern California, are easing the financial burden of a mortgage. However, some areas of California, such as the Central Valley and Northern California, are still recovering from the housing market slide.
The average California homeowner with a mortgage gained $25,000 in equity during the third quarter compared to a year ago, according to CoreLogic.
In fact, California has the third-lowest loan-to-value ratio in the nation at 48.2%, behind only first-place Hawaii and New York.
Only 4.9% of the 6.72 million homeowners in California with mortgages are underwater – owe more than the value of their home.
San Francisco has the largest percentage of homeowners with equity at 99.4% in the nation, while Los Angeles is at 96.9% during the July through September period.
Realtor.com: The hottest markets in California
California boasts three of the nation’s top 10 housing markets – and 10 in the top 50 for 2017.
Los Angeles, with an estimated 6.9% boost in price and 6.0% increase in sales, is the second-best market in the nation, behind only Phoenix-Mesa, according to Realtor.com.
Sacramento and Riverside finished in fourth- and fifth-place, while San Diego landed at No. 15.
NAR senior economist Joe Kirchner compiled the list based on the estimated price and sales increases for each market.
Photo courtesy of Ron Reiring via @Flickr.