Equity is defined as the value of your home less any liens (mortgage, home equity loans, etc.). So if your home is worth $500,000 and you have a $300,000 mortgage, your equity is $200,000. Many people borrow against the equity in their homes by taking out a home equity loan or 'second mortgage.' Keep in mind that if the value of your home goes down, the amount of equity you have decreases, which can leave you 'upside down,' or owing more than your home is worth, if the real estate market in your area takes a sudden tumble.
I am the buyer. Closing on the 25th. Seller wants to stay in house for three days *after* closing. How can I *best* limit my liabilities if someone were to get hurt , brak something ? etc... Is there a legal form online I can download/print ?