What is Home Equity? | What can you do with it?
Turn your home equity into cash! (Find out what your home is worth here.) You can sell and use the money for a bigger, smaller, different home, or you can take out a home equity loan and use the cash for home improvements or other things I talk about in this video.
Home equity is the difference between the current market value of your home and the amount you owe. In other words: if you sell it, what's your profit? That's home equity. :) In today's seller's market, equity can serve you well. If you plan to continue living in your current home, you can take out a "line of equity" (a loan) and use that money to do home improvement projects, pay for college, fund a new business, pay off bills/other debt...pretty much anything you can think of!
Many people are choosing to sell, taking advantage of both the seller's market and the low interest rates we are seeing today, and investing in a new home. You probably have more equity in your home than ever right now. If you're curious about the value of your home, talk to your realtor to get a current market value (Here's why you can't trust Zillow's zestimate). For a quicker market value, click here.
Whatever you choose to do, make your equity work for you!