Home equity - sustany/dvg GitHub Wiki

Home equity is the value of a homeowner�s interest in their home. In other words, it is the property�s current market value�minus any liens that are attached to that property. The equity in the property may change for a variety of causes, including the rise and decrease of the community's total market value.�

For example, if you purchased a house via a mortgage loan and you only paid 20%, then the lending institution has the 80% interest in the house until the loan has paid off, which means the home equity is 20%.