The Equity Advantage! How to Use Your Equity to Leverage Your Next Purchase
As a seller looking to sell and purchase another property, did you know you can leverage your equity when selling your home? That’s right!
One of the key benefits of being a homeowner is that you build equity over time in your home. So, what is equity and how does it grow? According to Bankrate and I quote “Home equity is the portion of your home you’ve paid off - in other words your stake in the property as opposed to the lenders. It is the appraised value of your home minus outstanding mortgage and loan balances.” Chances are, if you have been in your home for a while, you’ve likely built up a considerable amount of equity and may not realize how much.
According to the U.S. Census Bureau roughly 30% of homeowners have over 50% equity in their home. The equity you have built up, either through home appreciation, over the years, or from paying down your mortgage, can be used to finance a portion of your next home and put you in a stronger position to purchase.
If you are a homeowner considering selling, let's connect today so we can find out how much equity you may have to leverage your next move.
Whether you want to sell your existing home, buy your first home, upsize, downsize, purchase a vacation home, or just talk about options, a real estate professional is your best source for information based on current trends in our area. If you're interested in learning more about the 2023 real estate forecast, don't hesitate to reach out - we're happy to help!