, ,

10 Ways to Build Equity in Your Home

Home finances and residential equity symbol as a bird nest shaped as a family house with a gold egg inside as a metaphor for financial security planning and investing in real estate for retirement freedom.

1. Rising home prices – when home prices rise, you will gain equity simply because your home will be worth more. For example, if your home is currently worth $250,000, if it rises to $300,000 in five years, you’ll have $50,000 more equity. Unfortunately, the opposite can also occur.

2. Falling mortgage balance – as you pay off your mortgage each month, you pay a portion of interest and a portion of principal (assuming it’s not an interest-only home loan). Every time you make your mortgage payment you’ll gain some home equity.

3. Larger mortgage payments – if you make larger payments each month, with the extra portion going toward principal, you will pay off your mortgage faster and gain home equity a lot quicker.  (Stop to consider your long-term investment goals before doing this.  Oftentimes, if you put your money into a different investment vehicle like a mutual fund, you would receive larger returns from the mutual fund than you would from putting more money toward your mortgage.)

4. Biweekly mortgage payments – you can go with a biweekly mortgage payment, where you make 26 payments throughout the year. This will shave down your mortgage term, save you a ton in interest, and help you build home equity a lot faster.

5. Shorten your mortgage term – you can refinance into a shorter-term mortgage with a lower mortgage rate, such as a 15-year fixed, which will increase the size of your payments, but build equity much faster than a traditional 30-year mortgage.

6. Avoid refinancing – conversely, if you don’t refinance and pull cash out, you’ll retain all the equity in your home. During home value growth periods, many homeowners refinanced over and over until they sucked their equity dry – then when prices drop, as they tend to with any market, these homeowners found themselves upside down on their mortgages.

7. Home improvements – if you make smart home improvements, where the expected value exceeds the cost, you’ll increase your home equity by having a home that’s worth more. While it’s seemingly completely played out, granite countertops and stainless steel appliances still draw buyers in, and you can sell for more.  Or if you like to go the Conscious Group route – eco-friendly home upgrades can build equity, save you money on your energy bills, and make your home more attractive to future buyers.

8. Maintenance – keep your home in tip-top shape and you will be rewarded when it comes time to sell. If you can unload it for more as a result, you’ve essentially created more equity in your home.

9. Curb appeal – same goes for staging. Make your home look good when you list it and there’s a better chance it’ll sell, and sell for more. Simple things can make a big difference, such as new paint, carpet, bright lighting, cleanliness, plants, flowers, etc.

10. Bigger down payment – you can make a larger down payment when you purchase your home to automatically acquire home equity. While this may seem like you’re putting money in an illiquid investment, more equity means a lower loan-to-value ratio, which equates to a lower interest rate and easier-to-obtain financing. Over time, that lower rate will mean less interest paid and more equity accrued.

If you’re ready to refinance, Conscious Real Estate works with a great lender we can recommend, so give us a call!

9737 replies
  111. geveze sohbet
    geveze sohbet says:

    Kameralı sohbet ve görüntülü sohbet siteleri üzerinden kullanıcılarla tanışabilir, görüntülü sohbet yaparak keyifli anlar yaşayabilirsiniz. Sohbet siteleri, yazılı olarak yayın yapan sitelerden oluşmaktadır

    Reply
  126. SOHBET NUMARASI
    SOHBET NUMARASI says:

    Siz de yalnızlıktan sıkıldıysanız ve yalnız geçen gecelerinize ışık katacak bir ses arıyorsanız, canlı sohbet hatlarını herhangi bir ücret ödemeden kullanabilirsiniz.

    Reply
  129. youtube mp3 indir
    youtube mp3 indir says:

    When you click on the share button after opening the Youtube video, when you call the Youtube contact form, you can choose to save your images in a way that will keep your images.

    Reply
  155. Türk Beğeni Satın Al
    Türk Beğeni Satın Al says:

    Instagram’a takipçi satın almak veya Instagram takipçi kasma sistemini kullanarak Instagram takipçilerini satın almak gerçekten önceden planlanmadığınız anda oluşabilecek sorunlara ve zorluklar görebilir.

    Reply
  162. Machine Learning MASTER
    Machine Learning MASTER says:

    This is an extremely powerful tool that has allowed computers to move beyond performing only explicit tasks like arithmetic or database searches, and into more complex areas such as recognizing faces or driving cars.

    Reply
  171. MaryCaddy
    MaryCaddy says:

    <a href="[Link deleted]albuterol tablets online <a href="[Link deleted]25 mg tablet price <a href="[Link deleted]levitra 20 mg <a href="[Link deleted]medication cost <a href="[Link deleted]2 mg price <a href="[Link deleted]online purchase <a href="[Link deleted]204 <a href="[Link deleted]medication price

    Reply
  192. JeffreyhIeks
    JeffreyhIeks says:

    prescription drugs without prior prescription buy canadian drugs
    [Link deleted]ciprofloxacin generic price
    <a href=[Link deleted]meds online without doctor prescription pet meds without vet prescription

    Reply
  223. Williambaf
    Williambaf says:

    <a href="[Link deleted]discount coupon <a href="[Link deleted]5 mg <a href="[Link deleted]mg zanaflex <a href="[Link deleted]no prescription <a href="[Link deleted]online pharmacy <a href="[Link deleted]for interstitial cystitis

    Reply
  270. Williambaf
    Williambaf says:

    <a href="[Link deleted]tablet price in india <a href="[Link deleted]in usa <a href="[Link deleted]price <a href="[Link deleted]prescription fluoxetine for sale sale <a href="[Link deleted]cialis uk

    Reply
  277. MaryCaddy
    MaryCaddy says:

    <a href="[Link deleted]price nz <a href="[Link deleted]generic valtrex on line <a href="[Link deleted]of benicar 5 mg <a href="[Link deleted]substitute

    Reply
  334. WilliamEvelm
    WilliamEvelm says:

    [Link deleted]canadian drug pharmacy
    <a href=[Link deleted]prescription for ed meds legal to buy prescription drugs from canada

    Reply
  355. WilliamEvelm
    WilliamEvelm says:

    [Link deleted]discount prescription drugs
    <a href=[Link deleted]meds without written prescription pain meds online without doctor prescription

    Reply
  397. RichardRof
    RichardRof says:

    <a href="[Link deleted]ventolin from canada no prescription <a href="[Link deleted]pharmacy no prescription needed <a href="[Link deleted]online <a href="[Link deleted]of xenical

    Reply
  405. RicBrosy
    RicBrosy says:

    <a href="[Link deleted]generic 50 mg <a href="[Link deleted]price in malaysia <a href="[Link deleted]pharmacy products <a href="[Link deleted]50 mcg tabs <a href="[Link deleted]cymbalta 30 mg <a href="[Link deleted]30 mg price

    Reply
  407. Williambaf
    Williambaf says:

    <a href="[Link deleted]paxil 20 mg <a href="[Link deleted]brand <a href="[Link deleted]214 <a href="[Link deleted]mg viagra <a href="[Link deleted]prednisone <a href="[Link deleted]name cialis from canada <a href="[Link deleted]strattera online canada <a href="[Link deleted]viagra usa

    Reply
  409. AshCaddy
    AshCaddy says:

    <a href="[Link deleted]ciprofloxacin online <a href="[Link deleted]blood pressure <a href="[Link deleted]30mg <a href="[Link deleted]anxiety <a href="[Link deleted]anxiety <a href="[Link deleted]generic sildalis

    Reply
  437. EyeCaddy
    EyeCaddy says:

    <a href="[Link deleted]from india <a href="[Link deleted]20 <a href="[Link deleted]cymbalta 30 mg <a href="[Link deleted]metformin from mexico <a href="[Link deleted]viagra <a href="[Link deleted]otc uk <a href="[Link deleted]viagra online using paypal

    Reply
  441. Williambaf
    Williambaf says:

    <a href="[Link deleted]female viagra pills uk <a href="[Link deleted]baclofen <a href="[Link deleted]12.5 <a href="[Link deleted]40mg cap <a href="[Link deleted]soft tabs 40mg <a href="[Link deleted]tablet price in india

    Reply
  457. RichardRof
    RichardRof says:

    <a href="[Link deleted]capsules 300mg <a href="[Link deleted]cost uk <a href="[Link deleted]the counter prednisone pills <a href="[Link deleted]levaquin <a href="[Link deleted]25 mg <a href="[Link deleted]generic synthroid <a href="[Link deleted]600

    Reply
  466. RichardRof
    RichardRof says:

    <a href="[Link deleted]pill <a href="[Link deleted]75 mg tablet price in india <a href="[Link deleted]price in india <a href="[Link deleted]for sale online <a href="[Link deleted]5mg tablet price in india <a href="[Link deleted]25 mg cost

    Reply
  467. Jamesquoli
    Jamesquoli says:

    <a href="[Link deleted]price in india <a href="[Link deleted]20mg cost uk <a href="[Link deleted]<a href="[Link deleted]online <a href="[Link deleted]prednisolne <a href="[Link deleted]gel online

    Reply
  470. EyeCaddy
    EyeCaddy says:

    <a href="[Link deleted]cymbalta generic <a href="[Link deleted]to buy cytotec online <a href="[Link deleted]500 <a href="[Link deleted]tablets online <a href="[Link deleted]for paroxetine <a href="[Link deleted]<a href="[Link deleted]ds buy without rx

    Reply
  476. RicBrosy
    RicBrosy says:

    <a href="[Link deleted]20mg prescription cost <a href="[Link deleted]mexico <a href="[Link deleted]<a href="[Link deleted]la 80 mg <a href="[Link deleted]rx

    Reply
  479. Darryldes
    Darryldes says:

    <a href="[Link deleted]fxt paypal <a href="[Link deleted]125 <a href="[Link deleted]75 mg tablet price <a href="[Link deleted]where to order <a href="[Link deleted]buy online uk <a href="[Link deleted]capsules 250mg <a href="[Link deleted]canada <a href="[Link deleted]otc usa

    Reply
  480. MaryCaddy
    MaryCaddy says:

    <a href="[Link deleted]nz buy <a href="[Link deleted]prices kamagra <a href="[Link deleted]albendazole australia <a href="[Link deleted]drug <a href="[Link deleted]500 mg cost <a href="[Link deleted]generic <a href="[Link deleted]pharmacy 365 <a href="[Link deleted]100 for sale

    Reply
  490. AshCaddy
    AshCaddy says:

    <a href="[Link deleted]gabapentin <a href="[Link deleted]for depression <a href="[Link deleted]cost of prozac <a href="[Link deleted]cost <a href="[Link deleted]05 <a href="[Link deleted]120

    Reply