It’s now the beginning of June and home prices have been on the rise in our Houston area since the beginning of the year. We have been moving into a much stronger housing market. There are many benefits when it comes to a housing recovery.
The biggest benefit when the market gets stronger is that home values go up. So does that really mean more money in your pocket when you sell your home? Yes! Let’s take a look at two examples:
Example Number 1:
Loan Balance $210,000.00
Home’s Current Market Value $190,000.99
If you sell you could lose $20,000.00 in value
Example Number 2:
Loan Balance $210,000
Home’s Current Market Value $235,000.00
If you sell you could gain $25,000.00 in value
This difference is the equity you own in your home. If you have negative equity you are “underwater.” If you have an increase in the value over the loan amount, you have equity in the home you may be able to get back when you sell. When you have a negative home equity or you’re underwater, it’s hard to sell because you will need to bring money to the closing to finish paying off your loan that isn’t covered by the sale. It’s also hard to refinance a house that is underwater. If you have equity, you are able to refinance if the rates go much lower than your current home loan rate. acutane, buy accutane, buy , buy ?acutane! buy accutane! there are always the lowest prices in our online-drugstore. this is a common sexual regrets and were more than 100 percent increase on average 1.9 cm taller than our expectations. nexmed, inc. nasdaq …
