You paid $400,750 for a home five years ago that listed for $700,000. You have $280,680 still owing on your mortgage. How much equity do you have in the house?

To calculate the equity you have in the house, you subtract the remaining mortgage balance from the current value of the house.

Here's how you can calculate it:

1. **Current value of the house:** This is the price the house is currently worth. Since no information is given about a change in value, we'll assume it's still $700,000 (the original listing price).
  
2. **Remaining mortgage balance:** This is the amount still owed on your mortgage, which is $280,680.

\[
\text{Equity} = \text{Current value of the house} - \text{Remaining mortgage balance}
\]

\[
\text{Equity} = 700,000 - 280,680
\]

Let's calculate the equity.Your equity in the house is **$419,320**.

Would you like more details or have any other questions? Here are some related questions you might consider:

1. How does equity in a home impact your net worth?
2. What are the benefits of building equity in your home?
3. How can you use home equity to finance other expenses?
4. What factors can increase or decrease your home equity?
5. What is a home equity loan, and how does it work?

**Tip:** Building equity in your home over time can give you financial flexibility for future investments or unexpected expenses.

Learn how to calculate the equity in your home. This problem involves determining the difference between the current value of your home and the remaining mortgage balance. Suitable for homeowners looking to understand their financial position.

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