IN PLAIN ENGLISH
The part of a home you actually own — what would be left if you sold it and paid off the mortgage.
FULL DEFINITION
A property's value minus the outstanding mortgage recorded against it.
EXAMPLE
A home valued at £285,000 with £162,400 left on the mortgage has equity of 285,000 − 162,400 = £122,600.
HOW IT'S CALCULATED
Equity = the value you entered − the balance of any mortgage entered with it. Both are typed in by you and dated, so they only change when you update them. It can be negative. The mortgage still counts as a liability on the Dashboard, and the property at its full value in Total Assets, so net worth comes out the same either way.
Educational content only. It is not personal financial advice.