Hey! Edna Wilson here, your hometown realtor, as hometown as apple pie! Today we're going to be talking about equity. If you bought a house in the past, you probably have equity in your house. The market is booming and that is so good for all of you buyers and sellers. I cannot tell you how much fun it is, but let's think about this. So if you trade up, right? If you buy another house, and I hear this all the time "Oh I'd love to sell my house but where am I going to go, I can't afford anything." Well the truth is, you probably can, because all you're doing is swapping equity. So follow me on this one, if you find a house for $250,000 and now the same house is worth even $450-500,000 you can buy a $500,000 house, have the same mortgage amount, pretty much the same payments, and you're just swapping equity. You're just taking equity from house 1 to house 2. Your payments don't change, your loan balance doesn't change, and if the market crashes, my biggest question for you is: where do you want to be?
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