An Approach To Creating Wealth From Equity

Many folks in the Sutherland Shire are not sure exactly what equity is, nor how to use it to create wealth.

equityFirstly, equity is just what you’ve remaining for yourself after all your loans have been repaid. The proportion of the home which you “own”, and it is a reflection of the amount of money payed off against the entire balance due. Equity essentially is produced by 3 sources (it not just a home):

  1. Real assets like a residence, stocks, collectables.
  2. Potential wealth like Superannuation, annuities.
  3. Prospective equity coming from bequest.

It’s this equity that’s the answer to wealth creation. Read more →