Build Your Own Home & Increase Your Equity

Another Reason to Build Your Own Home

Another reason to build your own home is accelerated equity buildup. It stands to reason that if you pay less for the same house and it appraises for the same amount of money, your equity will be higher. Put in simple terms. You buy a home from a builder and he charges you $150,000 while it appraises at $175,000. When you walk in the front door, you have $25,000 in equity assuming you put nothing down on the property. Now build that same house on your own for $125,000. It still appraises the same so you have $50,000 in equity and you saved your family $25,000 in the process or you were able to put an extra $25,000 in upgrades you really wanted.

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