NJ Homeowners Gain Nearly $60K in Equity - Counsellors Title Agency

The Northeast posts some of the biggest home equity gains in Q1 2024.

According to the recent CoreLogic report, New Jersey posted an average $59,000 increase in homeowner equity, placing it at number 3. California came in number 1, Massachusetts number 2 with New Jersey coming in number 3, with $74,000, the $61,000 and $59,000, respectively. The CoreLogic report indicated that nationwide, home equity increased by a total of $1.5 trillion since the first quarter of 2023, representing a gain of 9.6% year-over-year.

Another good metric in the report indicated that the total number of mortgaged residential properties with a negative equity decreased by 2.1% from the fourth quarter of 2023, which represented 1 million homes, or only 1.8% of all mortgaged properties. In the report, the year-over-year analysis reflected negative equity falling by 16.1% from 1.2 million homes, or 2.1% of all mortgage properties from the first quarter of 2023.

The CoreLogic report projects that home prices, based upon the current trends in home equity, will increase by 3.7% from March 2024 to March 2025.

Overall, California ranked number one in gains for U.S. home equity in the first quarter of 2024. Negative equity with an aggregate value fell to $321 billion by the end of the first quarter 2024 from the fourth quarter of 2023 of $339 billion.

From the first quarter of 2024, negative home equity fell by $17.6 billion or 5% from the first quarter of 2023.

In the United States, since CoreLogic began recording negative equity, the worst quarter occurred in the fourth quarter of 2009 when 26% of all mortgaged residential properties had negative equity. Presently, due to the continued increase in home prices, approximately 190,000 homeowners came out of negative equity, accounting for only 1.8% of those with mortgages being underwater. Homeowner equity continues to be one of the benchmarks for household liquidity, but as homeownership costs increase, including insurance, taxes and HOA fees, homeownership becomes a more difficult goal to achieve. As of the first quarter of 2024, the average U.S. homeowner gained approximately $28,000 in homeowner equity over the past 12 months. No state recorded an annual equity loss.

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.

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