Its National Home Price Perception Index shows that owners anticipate values on average 1.35% higher than the appraised value in August. However, they are slightly more realistic than in July when the difference was 1.55%.
There are large regional variations though with homeowners in the West over-valuing by 3% on average while those in the Midwest and Northeast were under-valuing by the same percentage.
“One of the biggest lessons from the HPPI, is highlighting how regionalized real estate is,” said Bill Banfield, Quicken Loans Executive Vice President of Capital Markets. “Homeowners who have a better understanding of their local housing market can make more informed decisions about their home. After all, their house is not just where they live, but one of their bigger assets.”
Meanwhile, Quicken’s Home Value Index for August, based only on appraisals, shows a 0.9% rise from the previous month and a 2.64% rise from August 2016.
There was a slight downturn in the South (0.52%) and East (0.58%) while the Midwest and West regions each had rising appraisal values, increasing 0.16% and 1.34% respectively.
More market update:
Homeowners are still overestimating the value of their homes according to a new report from Quicken Loans.