Are you curious about selling your home? Understanding your home equity is crucial to determining what you can afford when you move. With home prices having risen significantly in recent years, many homeowners have more equity than they realize.
Home Equity: What Is It and How Much Do You Have?
Home equity is the difference between your home’s market value and the remaining balance on your mortgage. For instance, if your home is worth $400,000 and you owe $200,000 on your mortgage, your equity is $200,000.
Recent data from the Census and ATTOM reveals that Americans currently hold significant equity in their homes. In fact, more than two out of three homeowners have either fully paid off their mortgages or have at least 50% equity in their homes:
Maximizing Your Return on Investment
Today, homeowners are seeing substantial returns on their home ownership investments when they sell. If you have considerable equity, it can be a powerful asset for your next move.
Steps to Take Next
If you’re considering selling your house, it’s essential to know how much equity you have and what that means for your home sale and potential earnings. Here are steps to guide you:
- Consult with a Real Estate Agent: A professional can provide a clear picture of your home’s value and the equity you possess.
- Speak with a Financial Advisor: Understanding the financial implications of selling your home is crucial. A financial advisor can help you make informed decisions.
- Talk to a Tax Professional: They can guide you on the tax implications of selling your home and using your equity.
Bottom Line
With rising home prices, your equity has likely increased as well. Connect with a local real estate agent to discover how much equity you have in your home and move forward confidently when you decide to sell.
Contact Sell With Sonico today to get started on your home selling journey and make the most of your home equity.
