Recall the Application About the Impact That Home Equity Values

Recall the Application about the impact that home equity values have on consumer spending and wealth to answer the following question(s) . From 1997 to mid-2006, housing prices rose nationally by approximately 90 percent and consumer wealth increased by $6.5 trillion, but in the summer of 2006, housing prices began to fall. Home equity is the single largest component of net wealth for most families in the United States, and changes in the value of home equity affect consumer spending.
-According to this Application, what is home equity?

A) the value of homes less the value of the property on which the homes are sitting
B) the value of homes plus the value of the content in the homes
C) the average retail value of homes listed for sale
D) the difference between the value of homes and the amount of mortgage debt on the property