Most people don’t sit around thinking about their home equity. You make your payments, live your life, and the house just kind of does its thing in the background. But as we roll into 2026, it might be worth taking a closer look at what your home has built for you.
Even without crazy headlines this year, values in a lot of areas kept moving up. Not a huge jump, but enough that many homeowners added more wealth than they realized.
Let’s walk through it together in a simple way.
Your Home May Have Grown More Than You Think
Across the country, the picture looked pretty steady. Some highlights:
- Between early 2020 and early 2025, home prices climbed about 54 percent.
- From the second quarter of 2024 to the second quarter of 2025, prices rose just under 3 percent.
- The typical homeowner with a mortgage now has close to 307 thousand dollars in equity.
- All homeowners combined are sitting on roughly 35 trillion dollars in home equity.
- About 72 percent of owner-occupied housing value is pure equity.
You do not need to memorize any of that. The point is simple. Even an average year can make a big difference when you stack it on top of five or ten years of paying down your loan.
If you bought your home a few years ago, there is a good chance you have built a pretty strong cushion without even trying.
Why Knowing Your Number Matters
This is the part that trips most people up.
They have equity, but they are not sure how much. They check online estimates, ask a friend, try to guess based on neighborhood sales, then give up and move on.
It is hard to make smart decisions when you do not know where you stand.
You should not need to dig through layers of websites or spreadsheets to figure out what is happening with the biggest asset you own.
How We Help Bring Clarity
Every homeowner we work with gets a free monthly home wealth tracker. It updates your home value, shows your estimated equity, and helps you see how your wealth is growing over time.
It feels a lot like checking your credit score, except this one is tied to something you already live in.
People often tell us they are shocked when they see their equity laid out clearly for the first time. It is normal. Most folks underestimate what they have built.
Once You Know Your Equity, You Can Explore Your Options
There is no single “right” choice. It depends on your goals, your season of life, and what you want the next few years to look like. Here are the most common paths people consider.
- Refinancing to Lower Stress
A refinance can help if you want to:
- Combine high interest debts into one payment
- Remove mortgage insurance
- Move out of an adjustable rate
- Shorten your loan so you build equity faster
Sometimes a refinance has nothing to do with chasing a perfect rate. It has everything to do with wanting more breathing room each month.
- Using a HELOC for Flexibility
A Home Equity Line of Credit gives you access to funds when you need them without touching your main mortgage.
People use HELOCs for:
- Paying off credit cards
- College or medical expenses
- Home improvements
- Emergency situations
- A cushion for life’s surprises
We help you use it in a way that supports your long term plans rather than creating more strain later.
- Using Equity to Move Up or Right Size
Your equity can also be a bridge. It can help you buy a better fitting home, move closer to work, or step into a new chapter of life.
Some families even keep their first home as a rental and use equity to help buy the next one. For others, it is simply about getting into a home that feels right for the future.
A Few Healthy Rules We Talk About Together
Here is the short version of how we approach it with clients:
- Borrow with a purpose
- Keep some equity untouched so you stay flexible
- Look at the long term, not just next month
- Take your time and get clarity before you choose anything
Your home is supposed to make life easier. That is the goal.
A Simple Plan for 2026
Working with us looks something like this:
Step 1: We set up your free home wealth tracker.
Step 2: You look over your updated equity picture.
Step 3: We talk through your goals and show you the options that fit.
You make the decision. We simply give you the clarity.
Whenever You Want to Look Closer, We Are Here
You have built real value in your home. Your equity might be one of your strongest financial tools heading into 2026.
If you want someone to walk you through your numbers in a simple, friendly, and pressure free way, we are here to help.
