- The value of the work, including renovations, maintenance, or repairs, put into a house by its owner. This can be used in place of a full down payment (up to and including 50% of a down payment).
hard work, time and effort, increased value
Related Terms and Acronyms
- Betterment — Definition,
- An improvement or replacement that increases a property's value.
- Curb Appeal — Definition,
- The look of a house when viewed from the street.
- Fixer-upper (fxr) — Abbreviation,
- A house that needs a lot of work and which sells for a discount.
- Home Equity (HE) — Acronym, Very Important,
- The part of a home's value that the mortgage borrower owns outright; the difference between the fair market value of the home and the principal balances of all mortgage loans.
- Trade Equity — Definition,
- A swap of property, such as real estate or a car, as part of a down payment for other real estate.
- Valuable Consideration — Definition,
- The granting of some beneficial right, interest, profit, or suffering of some detrimental forbearance, loss or default by one party in exchange for the performance of another.