The folks in the northern states (and even down into Kentucky) who have sugar maple trees on their properties have the old-fashioned option of supplementing their incomes by tapping into the sap. Boiling it down takes a lot of energy, but the maple syrup is highly saleable. Many North Palm Beach homeowners don’t need to turn to agribusiness to have an alternate option for raising cash in a pinch: tapping into their North Palm Beach home’s equity. According to last Thursday’s USA Today, its financial importance also dwarfs the maple syrup idea—currently, by trillions of dollars.
Why North Palm Beach Home Equity is Now Called ‘the “Right Tool’?
The total equity now held by American homeowners is awesome. “Homeowners are sitting on an estimated $20 trillion worth of home equity,” according to the credit authorities at TransUnion. In the first two quarters of 2022, homeowners tapped into the availability of ready cash to the tune of nearly $131,000,000,000 (yes, that’s billions). Such was the total credit value of the 807,000 new Home Equity Lines of Credit (HELOCs) granted by lenders during just those two quarters—a 30% increase over the same period in 2021.
The dramatic expansion of North Palm Beach homes’ equity was fueled by the “red-hot market” that swept the nation in what is now thought of as “the pandemic market.” And homeowners aren’t alone in welcoming the HELOC phenomenon. Mortgage lenders, faced with interest rate increases that have stifled demand for original home loans, are grateful to have HELOC demand to fall back on. USA Today may have had those firms in mind with its headline depiction of equity loans as the “Right Tool at the Right Time.”
Contact America’s Mortgage Solutions Today Your Florida Mortgage Expert
When home sales prices confirm hefty valuations, they also underscore another benefit that North Palm Beach property owners are happy to confirm: the equity dimension that owning your home provides. Call us at (561) 316-6800 for the latest sales results for North Palm Beach and surrounding areas. I’ll be happy to focus on properties that match the criteria that interest you.
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