Home equity is a term you hear often – but what does it really mean?

Simply put – Home equity is the current market value of your home, minus what you owe. Home equity can be a long-term strategy for building wealth. This is unlike virtually every other asset purchased with a loan, such as vehicles, which lose value while you pay them off.

You gain equity on your home as you make payments on your mortgage. But you also gain equity as the value of your property increases. Homeowners who stay in their homes longer are more likely to accrue equity.

Even if you aren’t planning to sell your home, it is good to know what your home equity amount is. A professional Realtor can help you to evaluate your home’s current value and understand where you stand with equity.

Curious about the current value of your home? Call me, I can help provide you with current market stats and give you a clear picture of where you stand.