How Homeowners Are Using Their Equity in 2025 | Equity Trends & Insights

According to ICE Mortgage Technology, homeowners pulled out $25 billion in equity last quarter—the highest first-quarter total we’ve seen since 2008.

So, what’s driving the shift? Two key factors:

• HELOC (Home Equity Line of Credit) rates have dropped by 2.5 percentage points, making it more affordable to borrow against your home’s value.

• Homeowners now sit on a record $11.5 trillion in tappable equity, with the average mortgage holder holding more than $200,000 in available value.

This surge in equity—and easier access to it—is changing how people are approaching their real estate and financial decisions.

How Are Homeowners Using Their Equity?

We’re seeing several trends take shape as people choose to tap into their home’s value:

• Renovating instead of relisting. Many homeowners are choosing to invest in upgrades—improving kitchens, bathrooms, or outdoor spaces—rather than buying something new.

• Consolidating debt. Others are using equity to pay down high-interest credit cards, auto loans, or personal debt—freeing up cash flow.

• Helping family. Parents are stepping in to help kids buy their first homes or invest in second homes for family getaways.

• Selling smart. Some are using equity to sell strategically—downsizing, upsizing, or relocating—without needing to refinance or take on today’s higher interest rates.

Why It Matters to You

Even if you’re not planning to sell anytime soon, knowing how much equity you’ve built can give you a clearer picture of your overall financial health—and open up new possibilities for your future plans.

Whether it’s renovating, investing, consolidating, or planning for retirement, understanding your equity puts you in control.

Want to Know How Much Equity You’ve Gained?

I don’t send these kinds of reports often—because I take the time to look at comps, dig into recent sales data, and factor in details that online estimators often miss.

But if you’re curious about where you stand, I’d be happy to run the numbers for your home. No pressure—just solid insight.

Reach out anytime. Let’s see what your home’s equity could be doing for you.