Home owners in the United States gained over $9 trillion in property value over the last year as a result of the strongest housing market in history. This surge in value is fueled by the historic shortage in available homes for sale, which on many markets is under 2-month supply.
According to the published report issued last week, the average home value surged by 31.4% year-over-year, creating a total of $38.3 trillion.
The value frenzy is also being supported by the historical low mortgage rates. As noted in earlier Counsellors Title blogs, Wall Street has also entered into the real estate market in a significant way, specifically BlackRock, which has made significant investments into the Atlanta, Georgia market. November marked the 16th straight month of double-digit price gains and the parallel shortage of inventory for sale.
According to the Redfin report, St. Louis and Chicago were the two regions that saw the smallest growth in volume, with St. Louis rising 12.3% and Chicago increasing 3.5% year-over-year.
The pandemic had an atypical impact upon rural home values: rural homes rose year-over-year on average by 46.2%, bringing an increase of $4.9 trillion to those owners in November.
If you have any questions about this information or title insurance, please contact Ralph Aponte: 732.914.1400.
Counsellors Title Agency, www.counsellorstitle.net, founded in 1996, is one of New Jersey’s most respected title agencies, serving all 21 New Jersey counties with title insurance, clearing title, escrow, tidelands searches, and closing and settlement services for commercial or industrial properties, waterfront properties and marinas, condominiums, townhouses or residential single-family homes. Counsellors Title also features its own Attorney Settlement Assistance Program™ [ASAP], which is an individual resource customized to fit the needs specifically of real estate attorneys, including, Documentation, Preparation, Disbursement of Funds, Attendance at Closing, HUD Preparation or Post-Closing Matters.