Lacy O'Leary
According to recent data published by the Mortgage Bankers Association, U.S. homeowners are seeing a dramatic increase in the amount of equity in their homes while at the same time seeing a big decline in the amount borrowed through home equity lines of credit (HELOCs) – the lowest since 2008. Using data from the Federal Reserve, they report that estimates owners’ equity is $14.1 trillion. However, they do suggest that as interest rates rise, HELOC’s might become more attractive to potential borrowers seeking to preserve the low rate of interest in their current mortgage.
MBA Source: Federal Reserve