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Homeowners are sitting on a record amount of cash – and not tapping it

Homeowners are sitting on a record amount of cash – and not tapping it

“Who wants uncertainty when it comes to monthly finances,” said Ben Graboske, executive vice president of Black Knight’s Data & Analytics division. “I think a lot of Americans look at, what are my payments? What is my income coming in and what are my payments going out? They want certainty that they can cover their costs and not worry about it.”

Nearly 80 percent of tappable equity is held by homeowners whose current mortgage interest rate is below 4.5 percent, and 60 percent of it is held by borrowers whose rate is below 4 percent. The average rate on the 30 year fixed today is around 4.8 percent, according to the Mortgage Bankers Association.

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