How Much Equity Do You Have in Your Home (and What Can You Do With It)?

You Might Have More Equity Than You Think 💰

If you’ve owned your home for more than a couple of years, there’s a decent chance your equity has grown—maybe more than you expect. Home values across Salem and the Willamette Valley have steadily increased over the last few years, and many local homeowners are now sitting on untapped equity.

Whether you’re thinking about selling, refinancing, or just want a better handle on your finances, understanding your equity is the first step.

What Is Home Equity?

Home equity is the difference between what your home is currently worth and what you still owe on it. For example:

• If your home is worth $525,000

• And your mortgage balance is $340,000

• Then your equity is $185,000

That $185,000 represents your ownership stake—and it can open doors to new opportunities.

Why Your Home Equity Matters

Equity isn’t just a number on paper. It’s a real financial resource. Here's what you might be able to do with it:

✅ Sell and move up — Use your equity as a down payment on a larger or newer home, even if interest rates are higher than when you bought.
✅ Buy a home with land — If you've been dreaming about acreage or more privacy, equity can help make that a reality.
✅ Change school districts — Equity can help you move closer to the schools or communities that better fit your family’s needs.
✅ Downsize and cash out — Sell for top dollar, buy something smaller, and keep the rest for savings, travel, or investments.
✅ Buy an investment property — Tap into your equity to purchase a rental or vacation home.
✅ Refinance or remodel — Equity can unlock cash for renovations or help you qualify for better loan terms.

But none of that is possible if you don’t know where you stand.

Step One: Find Out What Your Home Is Worth

Before you can calculate your equity, you need a current estimate of your home's value.

➡️ Start here with a free online estimate

This will give you a general idea based on recent sales in your area. If you're serious about making a move—or just want a more accurate picture—we can take it a step further. A personalized market review includes your home’s upgrades, condition, neighborhood demand, and other local trends that automated estimates miss.

Step Two: Subtract What You Owe

Once you have your estimated value, subtract your mortgage balance. If you have a second mortgage or HELOC, include those too.

📌 Tip: Not sure what you owe? You can find your loan balance on your most recent mortgage statement or by logging into your lender’s website.

Step Three: Put Your Equity to Work

Once you know your equity, it’s time to think strategy.

• Is now the right time to sell?

• Should you hold and refinance?

• Is your equity enough to buy a second home?

• How would selling now impact your long-term goals?

We can help you walk through those questions. Every situation is different—and we’re here to help you make decisions that make sense for you, not just the market.

Get a Clear Picture of Your Options

Even if you're not planning to sell right now, it helps to know your numbers. Understanding your equity puts you in control, whether you're planning your next move or simply making smarter financial decisions.

📩 Let’s talk — We'll walk you through your options, help you make a game plan, and give you clarity—no pressure, just good advice.