As you pay off your house, you build up equity. Your equity is measured by how much money you would get to keep if you were to sell off your house and pay off your mortgage loan. You want to build up as much of that as possible.
But what if you need to fix a huge problem in your house? What if you need to renovate or remodel? Can you use your equity to fund the cost of those projects? According to Bankrate, if you still owe most of your mortgage, you would probably be better off going after different types of financing. […]