Good news RE agents! RealtyTrac reported that soon 8.3 million homeowners, or about 18 percent of homeowners with mortgages, will gain enough equity to sell their homes in the next 15 months without resorting to short sales.
“Steadily rising home prices are lifting all boats in this housing market and should spill over into more inventory of homes for sale in the coming months,” said Daren Blomquist, vice president at RealtyTrac.
“Homeowners who already have ample equity are quickly building on that equity, while the 8.3 million homeowners on the fence with little or no equity are on track to regain enough equity to sell before 2015 if home prices continue to increase at the rate of 1.33 percent per month that they have since bottoming out in March 2012.”
But it’s not all good news. About 10.7 million homes still have at least 25 percent negative equity or more, representing 23 percent of properties with a mortgage, according to RealtyTrac. That’s down from 11.3 million in May 2013 and 12.5 million in September 2012, the firm said.
The report also found that 1 in 4 homeowners in foreclosure has positive equity, meaning those owners have a better chance of selling their homes before foreclosure proceedings conclude.
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