Home equity refers to the value of a homeowner’s interest in a property, which is calculated by subtracting the outstanding mortgage balance from the fair market value of the property. For example, if a property is worth $500,000 and the outstanding mortgage balance is $300,000, the homeowner has $200,000 in home equity.
How to Price Your Home Correctly
When it comes to the real estate market, pricing your home correctly is one of the most important factors to consider. A home that is priced too high or too low can result in lost value, decreased buying power, and deter potential buyers from making an offer.