Home equity is the value of a homeowner’s interest in their home. In other words, it is the real property’s current market value (less any liens that are attached to that property).

What does it mean when a property has equity?

Home equity is the value of a homeowner’s interest in their home. In other words, it is the real property’s current market value (less any liens that are attached to that property).

When you sell a house do you get the equity?

Put simply, in a traditional sale, you should be able to sell your home for more than what you currently owe on your mortgage. If you’ve been paying down your mortgage over the years, you’ll have built up equity in your home, which you can cash in on when you sell.