Quicken Loans reports home value perceptions in San Francisco, Los Angeles

  • During the past year, appraiser and homeowner opinions have noticeably narrowed in Los Angeles.
  • There and both positives and negatives for homeowners who are undervaluing the equity in their homes.
  • Appraised values are also noticeably higher than homeowner perceptions in San Jose.

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Last month, appraised home values in San Francisco were 3.94 percent higher than home value perceptions. This difference in value perception has remained relatively unchanged during the past year, as during December 2014 appraised values were 4.45 percent higher, a recent Quicken Loans index shows. Nationally, average appraised homes were roughly two percent lower than owners' home value perceptions in December; however, in San Francisco - and to a lesser extent Los Angeles - the opposite occurred. This continued difference of opinions indicates "there's more upside to come," according to Bob Walters, the firm's chief economist. In short, a 3.94 percent difference in value perception equates to a more than $44,000 difference of opinion when assuming a median home price of $1.19 million. For homeowners considering a sale or currently listing this would appear to be good news. However, a nearly 4 percent difference could also cause complications for homeowners that are ...