Sitting On Cash: Post-Housing Boom Buyers More Bullish On Equity Gains [INFOGRAPHIC]

Sitting On Cash: Post-Housing Boom Buyers More Bullish On Equity Gains via Barry Ritholtz

The loanDepot research also found that while 57 percent of homeowners believe their home’s value has appreciated in the past three years, the majority (80%) underestimate the amount of value their home has gained throughout the housing recovery. Of those who believe their home’s value has increased since 2013, one in four (27%) believe it increased between one and five percent since 2013. The Case Shiller 20-city index shows prices rose twice that much, in fact 10 percent from Nov 2013 to Nov 2015.

“Homeowners who bought during the housing boom are regaining equity many thought was lost forever, yet too many are not aware of the equity they have gained or they are unclear about how to determine changes in their equity,” said Bryan Sullivan, chief financial officer of loanDepot, LLC. “People who bought after the housing boom when prices were low are realizing homeownership can be a great investment and an asset that they can now leverage through equity to realize many dreams. Whether they choose to leverage their home equity now or reserve it for future needs, millions of homeowners have choices today not available just a few years ago.”