what is home equity 
home equity is the difference between the amount you owe on a mortgage and what the home is worth it s essentially what you own in a home the amount of equity in a house can grow over time as you make payments and the property s value increases more technically home equity is the property s current market value minus any liens such as a mortgage that are attached to that property home equity is an asset that you can borrow against to meet important financial needs such as paying off high cost debt or paying college tuition learn more about how home equity works how to calculate it and how you can use it 