Four ways homeowners can use their equity

Equity is the difference between your home’s value and your mortgage balance — and most homeowners have gained a lot of it over the past few years.

Thanks to rising home prices, most homeowners are sitting on more equity than they might think. The typical homeowner had about $270,000 in home equity at the beginning of 2023.

You can tap into home equity when you need it for home repairs, medical bills, college tuition or any other expense you might face. Here are four methods for tapping your home equity.

Cash-Out Refinance: With this method, you would replace your current mortgage loan with a...