How To Build Equity In Your Home

Home equity is the difference between the value of your home and how much you owe on your mortgage.

For example, if your home is worth $250,000 and you owe $150,000 on your mortgage, you have $100,000 in home equity. 

Your down payment at purchase is the start of your home equity investment, and it grows as you make mortgage payments.

Your equity also grows when you make home improvements that increase your property’s value, or if the market is favourable and your property value rises.

When you build home equity, you create a financial investment that can be used to reinvest into your home or other beneficial uses. 

Speak with your lender or financial advisor to learn about the value of your equity, how you can use it, as well as the pros and cons of using it.

As always, let me know if you need a trusted referral.