CoreLogic's Homeowner Equity Insights 2023

In this comparison of two articles from CoreLogic, we analyze the Homeowner Equity Insights for Q1 2023 and Q2 2023. These reports provide crucial data about homeowner equity in the United States and various states, including Texas.

Homeowner Equity Insights – Q1 2023

In Q1 2023, CoreLogic's analysis showed that U.S. homeowners with mortgages experienced a decrease in equity by a total of $108.4 billion since the first quarter of 2022, a loss of 0.7% year over year. Negative equity, referring to borrowers owing more on their mortgages than their homes are worth, affected 2.1% of all mortgaged properties, totaling 1.2 million homes.

In terms of the national aggregate value of negative equity, it was approximately $336.7 billion at the end of Q1 2023. States such as Washington, California, and Utah experienced significant annual declines in home equity due to slowing home prices.

The average U.S. homeowner had more than $274,000 in equity, a notable increase from pre-pandemic levels. However, some areas, including Texas, saw homeowners who purchased properties in the previous spring facing no equity due to price losses.

Homeowner Equity Insights – Q2 2023

In Q2 2023, CoreLogic's analysis revealed a more significant decline in homeowner equity, totaling $287.6 billion since the second quarter of 2022, marking a loss of 1.7% year over year. Negative equity affected 1.1 million homes, constituting 2% of all mortgaged properties.

Homeowners in the West continued to experience the largest year-over-year equity losses, particularly in states like Hawaii, California, and Washington. However, the average U.S. homeowner gained $13,900 in equity quarter over quarter.

The national aggregate value of negative equity slightly decreased to approximately $335.3 billion at the end of Q2 2023, showing a minor improvement compared to the previous quarter. The average U.S. homeowner lost approximately $-8,300 in equity during the past year.

Comparison and Changes

Comparing the two reports, we observe a worsening trend in homeowner equity between Q1 and Q2 2023, with a larger decline in the latter period. Both reports emphasize the impact of fluctuating home prices on equity. Additionally, the annual negative equity rate and the number of homes affected remained relatively consistent.

States like Texas experienced equity losses in both quarters, contributing to the overall national decline. However, it's important to note that despite these losses, the average U.S. homeowner still holds a substantial amount of equity.

The Average U.S. Homeowner's Equity Now

As of Q2 2023, the average U.S. homeowner now has more than $265,700 in equity. This figure represents a significant decrease from the equity levels observed before the pandemic, emphasizing the challenges and fluctuations in the housing market over the past few years.

In conclusion, homeowner equity remains a crucial indicator of the health of the real estate market, reflecting the ongoing shifts and challenges faced by homeowners across the United States, including in Texas. As the housing market continues to evolve, staying informed about these trends is vital for both homeowners and policymakers.

When's the last time you checked your home equity. For an update, reach out to us at [email protected] or (281) 462-5405.


Read CoreLogic's Home Equity Insights for Q1 & Q2 2023 at the links below. 

Homeowner Equity Insights – Q1 2023 | Homeowner Equity Insights – Q2 2023

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