Equity buildup should always be avoided if possible.

Question

Quizplus · Accepted Answer

Equity buildup refers to intentionally keeping a low mortgage payment and accumulating home equity instead of paying off the mortgage quicker. While there may be some situations where this strategy makes sense for certain individuals, building equity in a home can be a positive long-term financial goal. Building equity allows homeowners to increase their personal wealth and could also provide a financial safety net in case of emergencies or unexpected expenses.

Equity Buildup Should Always Be Avoided If Possible