How Much Equity Do I Have in My Las Vegas Home?

by Ryan Rose

Before selling, you need to know one number: how much will you actually walk away with? That depends on your equity. Here's how to figure it out.

The Basic Equity Formula

Home Equity = Current Market Value - What You Owe

Simple example: Your home is worth $475,000 and you owe $280,000 on your mortgage. Your equity is $195,000.

But that's not what you'll pocket when you sell. Selling costs reduce your actual proceeds.

How to Calculate Your Equity

Step 1: Determine Your Home's Current Value

Options for estimating value:

Online estimates (Zillow, Redfin): Quick but often inaccurate by 5-15%
Comparative Market Analysis (CMA): Free from a local agent, more accurate
Professional appraisal: Most accurate, costs $400-600

For planning purposes, a CMA gives you a realistic range without cost.

Step 2: Find Your Mortgage Balance

Check your most recent mortgage statement or log into your lender's portal. Look for "principal balance" or "payoff amount."

Important: The payoff amount may be slightly higher than principal balance due to accrued interest.

Step 3: Identify Other Liens

Subtract any additional amounts owed against the property:

Home equity loans (HELOCs)
Second mortgages
Tax liens
Mechanic's liens
Judgment liens

The Real Number: Net Proceeds

Equity isn't what you keep. Net proceeds are. Here's the full calculation:

Item	Example
Estimated sale price	$475,000
Minus mortgage payoff	-$280,000
Minus agent commissions (5.5%)	-$26,125
Minus title and escrow (~1%)	-$4,750
Minus transfer taxes	-$2,423
Minus prorated taxes/HOA	-$1,500
Minus repairs/credits	-$5,000
Estimated Net Proceeds	$155,202

In this example, $195,000 in equity becomes approximately $155,000 in actual proceeds after selling costs.

Typical Selling Costs in Las Vegas

Budget for approximately 7-9% of sale price in total costs:

Agent commissions: 5-6% (negotiable)
Title insurance: ~$1,500-2,500
Escrow fees: ~$500-1,000
Transfer tax: $2.55 per $500 of sale price in Clark County
Prorations: Property taxes, HOA dues owed
Repairs/credits: Varies based on negotiation

Factors That Affect Your Equity

How long you've owned. Longer ownership usually means more equity from appreciation and mortgage paydown.

When you bought. Buyers from 2010-2019 have seen significant appreciation. Buyers from 2021-2022 at peak prices may have less.

Your loan type. 15-year mortgages build equity faster than 30-year. Interest-only loans build no principal equity.

Market conditions. Las Vegas prices are near record highs, boosting equity for most owners.

Home improvements. Major upgrades can increase value, though rarely dollar-for-dollar.

When You Might Have Less Equity Than Expected

Bought at 2021-2022 peak prices
Made minimal down payment
Took out home equity loans
Have an interest-only or negative amortization loan
Home has declined in value due to condition or area changes

When You Have More Equity Than Expected

Bought before 2020 when prices were lower
Made large down payment
Have been paying extra toward principal
Made value-adding improvements
Your neighborhood has appreciated above average

What If You Have Little or No Equity?

If your equity is minimal or negative:

Wait: Continue building equity through payments and appreciation
Bring cash: Pay the difference at closing to complete the sale
Short sale: If underwater, negotiate with lender to accept less (damages credit)
Rent instead: Build equity while generating income

The Bottom Line

Your home equity is a starting point, not what you'll actually receive. Subtract selling costs to estimate true net proceeds. Most Las Vegas sellers with homes purchased before 2022 have substantial equity to work with. Understanding your real number helps you plan your next move.

Want an accurate estimate of your home's current value and what you'd net from a sale? Get a free home valuation.

Frequently Asked Questions About Home Equity in Las Vegas

Q1: How do I calculate my home equity?

Home equity is calculated by subtracting what you owe on your mortgage from your home's current market value. For example, if your Las Vegas home is worth $475,000 and you owe $280,000, you have $195,000 in equity. However, remember that selling costs will reduce your actual net proceeds.

Q2: What's the difference between equity and net proceeds?

Equity is the difference between your home's value and what you owe. Net proceeds are what you actually walk away with after paying all selling costs including agent commissions (5-6%), title and escrow fees (~1%), transfer taxes, and any repairs or credits. Typically, selling costs reduce your equity by 7-9% of the sale price.

Q3: What's the most accurate way to determine my home's current value?

A Comparative Market Analysis (CMA) from a local Las Vegas real estate agent provides the best balance of accuracy and cost—it's free and typically more reliable than online estimates. Professional appraisals ($400-600) are most accurate but cost money. Online estimates like Zillow can be off by 5-15%.

Q4: How much are typical selling costs in Las Vegas?

Expect approximately 7-9% of your sale price in total selling costs. This includes agent commissions (5-6%), title insurance ($1,500-2,500), escrow fees ($500-1,000), Clark County transfer tax ($2.55 per $500 of sale price), prorated property taxes and HOA dues, and any negotiated repairs or credits to the buyer.

Q5: What if I have little or no equity in my home?

You have several options: wait to build more equity through mortgage payments and appreciation; bring cash to closing to cover the difference; pursue a short sale if underwater (though this damages credit); or rent out your property to generate income while building equity over time.

Q6: Do I need to include other liens when calculating equity?

Yes. Subtract any additional amounts owed against your property including home equity loans (HELOCs), second mortgages, tax liens, mechanic's liens, and judgment liens. All of these must be paid off at closing and reduce your available equity.

Q7: Why might I have less equity than I expected?

Common reasons include: buying at 2021-2022 peak prices, making a minimal down payment, taking out home equity loans, having an interest-only loan that doesn't build principal equity, or property value decline due to condition issues or neighborhood changes.

Q8: How does my mortgage type affect equity building?

15-year mortgages build equity much faster than 30-year mortgages because more of each payment goes toward principal. Interest-only loans build no principal equity during the interest-only period. Conventional loans with extra principal payments can significantly accelerate equity growth.

Q9: How long should I own my Las Vegas home to have substantial equity?

This depends on when you bought and market conditions. Buyers from 2010-2019 have generally seen significant appreciation. However, Las Vegas prices are near record highs, so longer ownership (5+ years) typically allows more time for both appreciation and mortgage paydown to build substantial equity.

Q10: Will home improvements increase my equity dollar-for-dollar?

Rarely. While major upgrades can increase your home's value and therefore your equity, most improvements don't return 100% of their cost. Kitchen and bathroom renovations typically offer better returns than other improvements, but expect to recoup 50-80% rather than the full investment amount.

Q11: Where do I find my exact mortgage payoff amount?

Check your most recent mortgage statement or log into your lender's online portal. Look for "principal balance" or "payoff amount." Note that the payoff amount may be slightly higher than the principal balance due to accrued interest between your last payment and the closing date.

Q12: Are Las Vegas real estate transfer taxes high compared to other areas?

Clark County charges $2.55 per $500 of sale price in transfer taxes. This is relatively moderate compared to other major markets. On a $475,000 home, you'd pay approximately $2,423 in transfer taxes, which is considerably less than high-tax states like California or New York.