How Much is Your Home Worth?

Over the past few years, you’ve probably seen a whole lot of headlines about how home prices keep going up. But have you ever stopped to think about what that means for your home?

Home prices have risen dramatically over the past five years — far more than usual. And if selling has been on your mind, this could mean a bigger-than-expected payday when you list. So, how much has your home’s value changed? Let’s break it down.

The Rapid Rise of the Past 5 Years

Typically, home prices increase by about 2-5% a year. But in 2021-2022, there were double-digit increases. And at the peak, prices rose by a staggering 20% or more nationally. Why? There were way more buyers than homes available and interest rates were at all-time lows, which sent prices soaring. While things have normalized since then, there is still time to reap the benefits of those massive increases.

Your house has gained way more value than it normally would in such a short period – and that means a lot more wealth for you, too.

Nationally, prices have increased nearly 60% in the past 5 years alone. In California, home prices have increased more than 45% during that time period. 

If you’ve been holding off on selling because you were worried about buying your next home at today’s rates and prices, think about how much equity you have to bring to your next home. It may be more than enough to help close the affordability gap and get you into your next house. Chances are, you have a fair amount of equity in your home. 

How To Find Out What Your House Is Really Worth

While looking at state and national averages is great, you probably want more specific numbers. The only way to get an accurate look at what your house is really worth is to talk to a local real estate agent.

It's great that as a state, California home prices increased over 45% but that number doesn’t take your local market or your home condition into consideration. Is inventory low where you live, or maybe you’ve done renovations that’ll add even more value to your house? Those are insights that we as Realtors take into consideration to provide you with the most accurate information when providing you with a home evaluation. 

Bottom Line

Home values have climbed — maybe more than you expected. Are you curious about what your house is worth in today’s market? Connect Arrive Real Estate Group today for a free home evaluation!