Ways Your Home Equity Can Help You Reach Your Goals: A Denver Metro Perspective

Ways Your Home Equity Can Help You Reach Your Goals: A Denver Metro Perspective

If you've been a homeowner for a while, there's this cool thing you gotta know more about – home equity. Now, in case you're scratching your head wondering what that is, let me break it down for you. Freddie Mac puts it simply: home equity is the difference between your home's worth and what you owe on your mortgage. So, as you chip away at that home loan and property values go up, your equity climbs too.

But let me tell you, the Denver Metro area's been a real rollercoaster lately. Even though house prices dipped a bit last year, they've been making a comeback. In 2019, the median price for a house here was $420,000, but now? It's a different story. We're talking about some serious growth!

Selma Hepp, the brainy Chief Economist at CoreLogic, chimes in with some numbers that'll knock your socks off. Homeowners are seeing their equity hit new highs, recovering from last year's slips. On average, U.S. homeowners gained over $20,000 in equity just in the last year! And in some markets, the numbers are even more impressive.

But hang on, it's not just about last year. The average homeowner sitting on a mortgage is looking at over $300,000 in equity. That's a lot of dough to play with! So, what can you do with all this equity? Here are a few ideas:

1. Buy a Home That Fits Your Needs: Whether you're bursting at the seams in a small place or rattling around in a big one, your home equity can be your ticket to a new pad that's just right for you.

2. Reinvest in Your Current Home: If moving isn't your jam, consider using that equity to give your current place a facelift. But hey, talk to a real estate pro (like yours truly) about which upgrades will get you the biggest bang for your buck when it's time to sell.

3. Pursue Personal Ambitions: Dreaming of starting a business, retiring in style, or maybe hitting the books again? Your home equity could be the launchpad for those dreams. Just remember, we're talking about responsible spending here.

4. Stay Ahead of Foreclosure: It's tough out there, and some folks are facing foreclosure. If that's you, knowing your options and understanding how your equity can be a safety net is crucial.

Bottom Line: Curious about your equity? Hit me up! I'll walk you through a professional equity assessment and show you how you can use it to nail those life goals. And remember, in the ever-changing Denver Metro market, staying informed is key. Whether it's understanding the recent shifts in interest rates or navigating the complexities of the housing market, I've got your back. So, let's chat – I'm here to help you make the most of your real estate journey. Let's do this!