The portion of your home’s value that belongs to you. When you obtain a mortgage to buy a home, the equity is split between you and the lender; as you repay the loan, the lender’s share of the equity declines and your share rises. If there is no mortgage debt on the property, your equity in it is 100% of its value. See Home Equity Loan, Home Equity Line of Credit, Second Mortgage
Glossary
Home Equity
Your A‑to‑Z Glossary of Financial Terms
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- 401(k) Plan
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a
- ACA
- Accredited Investor
- Action Bias
- Active Management
- Activities of Daily Living
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- Advance Directive
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b
- Balance Sheet
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- Benchmark
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- Broker
- Broker-Dealer
- Brokerage Firm
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- Budgeting
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c
- Call Option
- Capital Asset
- Capital Gain
- Capital Gains Tax Rate
- Capitalism
- Captive Agent
- Cash Equivalents
- Cash Reserves
- Cash Value
- Cash Value Life Insurance
- Catastrophizing Bias
- Central Bank
- Certificate of Deposit
- Certified Financial Planner®
- CFP® Board of Standards
- Charitable Contributions
- Checking Account
- Claim
- Closing
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d
- Dealer
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- Deduction
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- Defined Benefit Plan
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- Deflation
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- Depreciation
- Depression
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- Discount
- Discretionary Authority
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- Distributed Ledger Technology
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- Diversification
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- Durable Power of Attorney
- Duration
e
- Earned Income
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- Economic Indicator
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- Employer Match
- Endowment Bias
- Endowment Fund
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- Equifax
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- Equity
- Estate
- Estate Planning
- Estate Tax
- Exchange
- Exchange-Traded Fund
- Excise Tax
- Exclusion
- Executor
- Exemption
- Expenses
- Experian
- Exposome
f
- Face Value
- Fascism
- FDIC
- Fear
- Federal Deposit Insurance Corporation
- Federal Income Tax
- Federal Reserve
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- FICA
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- Fiduciary
- Fiduciary Obligation
- Financial Abuse
- Financial Advisor
- Financial Firm
- Financial Industry Regulatory Authority
- Financial Literacy
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- Fitch
- Fixed Annuity
- Fixed Expense
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- Flexible Spending Account
- FOMO
- Foreclosure
- Foreign Exchange
- Forex
- Form 1040
- Framing Bias
- Futures Contracts
- FX
- FX Futures
g
- GDP
- Grantor
- Grantor Trust
- Greed
- Gross Domestic Product
- Gross Income
- Guaranteed Lifetime Income
- Guardian
h
- Harry Markowitz
- Health Care Power of Attorney
- Health Insurance
- Health Savings Account
- Healthspan
- Hedge
- Hedge Fund
- Heirs
- Herd Mentality Bias
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- High-Yield Bond
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- Home Equity
- Home Equity Line of Credit
- Home Equity Loan
- Hospital Insurance
- Howey Test
i
- Illusion of Attention Bias
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- Immediate Income Annuity
- In Force
- Income
- Income Tax
- Independent Insurance Agent
- Index Funds
- Index Investing
- Indirect Tax
- Individual Retirement Account
- Inflation
- Inflation Rate
- Inheritance Tax
- Inherited IRA
- Institutional Investors
- Insurance Agent
- Insurance Cap
- Insurance Claim
- Insurance Company
- Insurance Contract
- Insurance License
- Insurance Policy
- Insured
- Intangibles Tax
- Interest
- Interest Rate
- Interest Rate Risk
- Internal Revenue Code
- Internal Revenue Service
- Intuition Bias
- Investment Advisers Act of 1940
- Investment Advisor Representative
- Investment Bank
- Investment Contract
- Investment-Grade
- Investment Manager
- IRA
- IRS
- Issuer
j
- Joint and Survivor
- Junk Bond
k
- Key Person Insurance
- Kidnap and Ransom Insurance
l
- Lagging Indicator
- Landlord
- Lapse
- Large-cap
- Leading Indicator
- Liabilities
- Lien
- Life Expectancy
- Life Insurance
- Lifespan
- Liquid
- Liquidity
- Living Will
- Loan
- Loan Agreement
- Long-Term Capital Gains
- Long-Term Care
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- Longevity
- Loss Aversion
- Lump Sum
m
- Major Medical Insurance
- Marginal Tax Rate
- Market Capitalization
- Market Correction
- Market Sector
- Maturity
- Maturity Date
- Medicaid
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- Medicare
- Medicare Part A
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n
- Nasdaq
- National Credit Union Administration
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- Net Worth
- New York Stock Exchange
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o
- Obamacare
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- Over-the-Counter
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p
- Passive Income
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- Premium
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- Prenuptial Agreement
- Primary Beneficiary
- Principal
- Private Equity
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- Probate
- Profit
- Profit-Sharing Contribution
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- Proof of Stake
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- Property and Casualty insurance
- Property Tax
- Proud Papa Bias
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- Put Option
r
- Real Estate
- Real Estate Investment Trust
- Realized Capital Gain
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- Rent
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- RIA
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s
- Salary
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- Securities
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- Small-Cap
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- Social Security
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- S&P
- S&P 500 Stock Index
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- State Income Tax
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- Stock Exchange
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t
- T-Bills
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- Tax Avoidance
- Tax Code
- Tax Credit
- Tax-Deductible
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- Tax-Efficient
- Tax Evasion
- Tax Exclusions
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- Tax-Loss Harvesting
- Tax Rate
- Tax Refunds
- Taxable Income
- Taxes
- Term Certain
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- Tuition Prepayment Plan
u
- U.S. Securities and Exchange Commission
- Umbrella Liability Insurance
- Underwriting
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v
- Value-Added Tax
- Variable Annuity
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- Variable Life Insurance
- Volatility
w
- Wages
- Waiting Period
- Ward
- Wealth Management Industry
- Whole Life Insurance
- Will
y
- Yield
z
- Zero-Coupon Bonds