How do you determine the equity in your home?

Question

How do you determine the equity in your home?

Answer 1

The equity in your home is how much money you have invested in it.

Answer 2

the value of the house minus mortgage amount ( what you own on the house) is your equity.

Answer 3

The equity in your home is the amount owed on your home & the appraised value of your home. Get an appraisal done.

Answer 4

fair market value - existing mortgage(s) and other encumbrances

Answer 5

The appraised value of your house subtract the loan amount that secured against your house (including 1st mortgage, 2nd mortgage, home equity loan and home equity line of credit). The remaining amount is your equity.

For an instance:  Your house value is $500,000 and you have a 1st mortgage of $400,000 and a 2nd mortgage of $50,000 plus a home equity loan of $10,000.  

$500,000 - $400,000 - $50,000 - $10,000 = $40,000

So, you have $40,000 equity in your house.