73718, Ames, OK

Home Equity and Home Prices in the 73718 Zip Code of Ames, OK

There are a number of factors that affect home equity and home prices. These include local economic conditions, interest rates, market saturation, and the availability of financing. In general, home equity is the difference between the value of a homeowner's property and their outstanding mortgage balance. Home prices are determined by a number of factors including demand from buyers and sellers, location, size and condition of the property, zoning laws, and other costs associated with buying or selling a home.

According to The National Association of Realtors®, median home prices in Ames were $128,900 as of September 2017. This is up from $124,500 during the same period in 2016. Over the past year or so there has been an uptick in sales activity in Ames as well as across most parts of Oklahoma. This has led to increased competition among buyers for available homes which has driven up prices somewhat. However it should be noted that median home values are still below their pre-recession levels so there is still room for price growth over time if desired.

Interest rates have played an important role in affecting both home equity and home prices over time. When interest rates rise this tends to cause borrowers to pay more on their mortgages which reduces their overall equity in their homes relative to when interest rates were lower. Conversely when interest rates fall borrowers have more money available to borrow which can lead to higherhome values as well as increased borrowing capacity for people looking to buy homes.

Another factor that affects both home equity andhome prices is market saturation or “overbuilding”of particular neighborhoods or areas within a city or town.. When there are too many houses being built relativeto demand this can lead to decreased housing values as well as an increasein housing costs for everyone involved (buyers, sellers & landlords). In some cases this may result in foreclosure proceedingsand even abandonmentof newly built houses which can further depress housing valuesand drive away potential buyers & renters alike.. Finally there is alsothe issueof “underbuilding” where not enough new houses are being built relativeto population growthwhich can also lead tomixed results suchashousingvaluesthatincreasealongwithpopulationgrowthwhilelandlordsmayexperiencea shortage offamilyswhohavechosentopurchaseapropertyinthearea.. In general thoughmarket saturation issometimesassociatedwithnegativeeffectsonhousingvalueswhileunderbuildingcanleadtotrafficproblems&urban sprawl..