List Of How Do Home Equity Loand Work Ideas. Your equity is determined by the current market value of your home and the remaining balance on your mortgage. Home equity is the difference between the value of your home and how much you owe on your mortgage.

A home equity loan is lent in a lump sum, and you repay the amount in flat monthly installments throughout the life of the loan. For instance, if your home is worth $275,000 and your current mortgage is. Refinance while rates are still low.