Exam term

Equity

Current property value minus the outstanding debt secured by it. It is not the same as net sale proceeds, and a higher LTV means less equity.

Lessons that use this term

Financial analysis of income property: cash flow, returns, and leverage California
General financing concepts: interest, amortization, points, and loan-to-value California
Real estate as an investment: analysis, risk, and leverage Florida
Characteristics of real property investments and investment property types New York
Lender requirements: conventional, FHA, VA, and USDA loans, LTV, and mortgage insurance Texas
Valuation math: CMA, net operating income, capitalization rate, equity, and property tax Texas