The difference between a property’s lending value (i.e., the purchase price or market value) and the value of all mortgages (including credit lines) secured against that property.
For example, given a house appraised at $250,000, a $150,000 mortgage and a $50,000 secured line of credit, the homeowner’s equity would be $50,000, or 20%.
Visited 4 times, 1 visit(s) today
Last modified: May 16, 2013
