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6 clusters · 21 sources · 44 days · First seen · Last updated

U.S. home equity availability and usage

Overview

U.S. homeowners hold significant untapped wealth, with total home equity reaching approximately $17.9 trillion as of the second quarter of 2026. Of this, $11.5 trillion is classified as “tappable” equity that can be accessed while meeting lender requirements. The average homeowner with a mortgage holds roughly $310,000 in equity, an increase of $6,000 from the previous quarter, driven by multi-year home price appreciation. Despite these record levels, utilization remains low; less than 0.1% of eligible homeowners utilized these funds in the second quarter of 2026. While HELOC and second mortgage originations rose by nearly 20% between the first and second quarters, economists suggest homeowners are reluctant to tap into this wealth because many hold low mortgage rates from previous years. Accessing additional funds would require borrowing at significantly higher current rates. As of September 16, 2026, the average interest rate for a home equity loan is approximately 8.14%. Financial experts note that because these loans are typically distributed as a lump sum requiring immediate repayment, failure to meet terms carries a “significant risk of foreclosure.” Regional disparities persist. In states like Hawaii and California, average equity exceeds $600,000, whereas in Louisiana, Oklahoma, and Iowa, it sits just above $100,000. Mortgage distress also remains a factor, with the share of homeowners who are seriously underwater—owing at least 25 percent more than their home’s estimated value—increasing to 3.2 percent from 2.7 percent the previous year. Recent data highlights extreme equity growth in specific regions. Between Q1 2020 and Q2 2026, six states saw average home equity gains exceed $200,000 per mortgaged property: New Jersey ($250,861), Connecticut ($239,653), Rhode Island ($224,813), California ($214,632), Massachusetts ($213,288), and New Hampshire ($206,811). These rising values have created diverging financial realities.

Entities

Griffin Funding · Cotality · United States · Harvard University · Unison

Claims

What the coverage asserts, and how many sources carry each claim.

Timeline

  1. [BUSINESS] 5 sources
    Six U.S. states see average home equity gains exceed $200,000

    Six U.S. states saw average home equity gains exceed $200,000 since 2020, though high costs continue to burden over half of renters in states like California and Connecticut.

  2. [BUSINESS] 2 sources
    U.S. homeowners hold record $11.5 trillion in tappable equity

    U.S. homeowners hold a record $11.5 trillion in accessible home equity, yet less than 0.1% have tapped into these funds due to high interest rates and low primary mortgage rates.

  3. [BUSINESS] 5 sources
    Home equity loan borrowing rises amid record equity levels

    Home equity borrowing is rising in the US as equity levels hit record highs, with average interest rates around 8.14% as of September 2026.

  4. [BUSINESS] 5 sources
    US home equity hits record $18 trillion amid rising mortgage distress

    U.S. home equity hit a record $18 trillion in Q2 2026, even as the number of seriously underwater homeowners rose to 3.2%, with Minnesota seeing a significant surge in mortgage distress.

  5. [BUSINESS] 5 sources
    Home equity options: Comparing loans and HELOCs

    U.S. homeowners hold over $11.5 trillion in equity. Options to access these funds include fixed-rate home equity loans for lump sums or variable-rate HELOCs for flexible, ongoing expenses.

  6. [BUSINESS] 2 sources
    U.S. homeowners hold $11.7 trillion in untapped home equity

    U.S. homeowners hold $11.7 trillion in tappable equity, though high interest rates limit access. Texas residents face specific constitutional limits on how they can borrow against their primary residences.

Sources

abc17news.com · abc7.com · billboard.com · cbsnews.com · dsnews.com · finchannel.com · findlove.com · ibtimes.fr · independent.co.uk · kesq.com · keyt.com · kion546.com · krdo.com · kvia.com · nypost.com · pontevedrarecorder.com · que.com · republicmonitor.com · stylecaster.com · thecourier.com.au · theskimm.com

This summary has been updated 4 times: see revision history