01581, Westborough, MA

Westborough, MA is located in Worcester County and has a population of approximately 50,000. The median household income in the zip code is $101,500 and the median home value is $412,500. Home equity in Westborough has increased significantly over the past five years. In 2012, the home equity was $269,000. In 2016, it had increased to $402,000. This increase can be attributed to a number of factors including low interest rates and increasing home values.

The 1581 zip code has seen an increase in home equity because of a combination of factors including low interest rates and increasing home values.

Since 2007 when the Federal Reserve began raising interest rates there have been relatively few opportunities for borrowers to take on new mortgages with lower interest rates available due to competition from other lenders (Fannie Mae/Freddie Mac). As a result borrowers have been forced into taking out longer term loans with higher interest rates which has helped to keep prices high and encouraged refinancing as prices continue to rise (D’Angelo et al., 2016).

Additionally, since 2007 Westborough’s population growth rate has been above average which means that more people are buying homes than are selling them (Zillow). This trend will continue as long as there are more buyers than sellers; therefore increasing demand for homes while decreasing supply will lead to higher prices (Nordstrom Real Estate).

The combination of these two factors - low interest rates and population growth - have led to an increase in Westborough’s home equity over the past five years.