How much do you think your home is worth? A Fannie Mae ESR Group study showed that many people that had negative and low equity during the downturn, now UNDERESTIMATE how much their home is worth today..by quite a bit!
For example, home prices jumped 20% from 2012 to 2014 which reduced the amount of people that were underwater on their home from 21% down to 9% per CoreLogic's estimates. However the Fannie Mae study showed that during that same time period the homeowners that believed they have negative equity in their home was reduced by only 3%, from 26% down to 23%. That is a huge gap between reality and perception.