Equity drives a huge part of the BrokerPlus conversation - refinance candidacy, debt consolidation analysis, equity reports, the works. Here's exactly how the number is computed.
The Formula
Equity = Estimated Property Value - Current Mortgage Balance
Plus a derived LTV (Loan-to-Value) percentage:
LTV = Current Mortgage Balance / Estimated Property Value
Where The Property Value Comes From
We blend valuations from several AVMs (Automated Valuation Models). Different AVMs use different methods and data - by combining them, we get a more stable estimate than any single source would give.
The result is shown as a single value on the equity page. We refresh it periodically without you having to ask.
Where The Mortgage Balance Comes From
- From your import (Filogix / Finmo / Velocity / mapped CSV).
- From manual entry when you add a client via the Add Client button.
- Updated when a client interacts with an equity report and provides a new balance (which also triggers a notification - see Notifications You'll Receive).
Manual Valuation Override
AVMs are estimates. If you know the property better than the AVM (an unusual property, a recent appraisal, local market knowledge), override it.
- Open the client's Equity tab.
- Click the pencil icon next to the property value.
- Enter your value.
- Save.
The override sticks until you clear it. To revert, click the pencil again and choose Clear override - we'll go back to the AVM blend.
The fact that an override is in place is visible on the equity page so you don't forget.
Refresh Cadence
AVMs refresh automatically. If you've manually overridden the value, your override stays in place - refreshes don't overwrite manual entries.
What To Do Next
- See the full equity page: What The Equity Page Shows.
- Capture other properties the client owns: Adding Additional Properties.
- Equity not loading? Equity Isn't Loading For A Property.