2007-03-18 17:40:40 · 8 answers · asked by reflections 1 in Business & Finance ➔ Investing
Take the appraised value of the house subtract what you owe on the house, the difference is your equity in the home. The value of the house that is actually yours.
If you have a house that is worth $100,000 and your mortgage balance is $75,000, your equity is $25,000. If you sold the house for $100,000 (ignoring any tax issues) you would have $25,000 in you pocket, your equity.
2007-03-18 17:48:19 · answer #1 · answered by Remember Back 3 · 0⤊ 0⤋
Equity is the amount of the value of the home that is yours...
it is combined with the amount you owe to show the full value of the home.
2007-03-18 17:58:41 · answer #2 · answered by Anonymous · 0⤊ 0⤋
I believe home equity is how much your home is worth. If you've purchased a house and added improvements, siding, thermal windows, new or remodeled kitchen, new or improved deck, etc. then the value or equiity of your home will have gone up.
2007-03-18 18:11:23 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Equity is the difference between the amount you owe on the property and the total value of the property.
(based on an appraisal)
100,000(owed) - 150,000(Property Value) =50,000(equity)
Xavier
2007-03-18 18:02:02 · answer #4 · answered by rucompetative 1 · 0⤊ 0⤋
"Home equity" is the value (not cost) of your home, minus any debt you owe that is secured by your home (for example, any mortgages you may have on the property). Ideally, your home is worth more than you owe on it. That difference between what it's worth and what is owed on it is considered your "home equity".
2007-03-18 18:32:54 · answer #5 · answered by Anonymous · 0⤊ 0⤋
It is the amount of money you own in your home. If you put 50,000 down on a home in one month you have 50,000 in equity. In five years you you have paid the down payment and say 30,000 in payments ,plus say your property has risen 11,000 in property value, you now have 91,000 in equity
2007-03-18 17:52:32 · answer #6 · answered by Psycmixer 6 · 0⤊ 0⤋
Take the maket value of your home and subtract what you owe on it and you ahve your equity.
EX. your home is worth $200,000. You owe $100,000 on the morgage. You have $100,000 of built up equity.
2007-03-18 17:49:00 · answer #7 · answered by Tim 2 · 0⤊ 0⤋
how much you have paid for the house!
2007-03-19 05:54:27 · answer #8 · answered by HHH 1 · 0⤊ 0⤋