Josh Lyon · August 27, 2026

How your mortgage builds wealth over time

Mortgage Market Update

My Mortgage Company

Josh Lyon

Thursday, August 27, 2026

How your mortgage builds wealth over time

This week we're looking at something that happens quietly in the background of homeownership: equity growth. It's one of the most powerful financial tools you have.

National Mortgage Rates · August 20, 2026

30-Year Fixed

6.65%

FHA 30-Year

6.53%

VA 30-Year

6.32%

Rate trend

Source: Freddie Mac PMMS & Optimal Blue via FRED

Rates shown are national averages and are provided for informational purposes only. Actual rates vary based on credit profile, loan amount, and market conditions. Please contact us for a personalized rate quote.


Equity Building

Your home is quietly building wealth for you

Every mortgage payment you make does two things: it covers interest to your lender, and it pays down your principal—the actual amount you owe. That principal reduction is equity, and it's yours to keep. Over time, as you pay down your loan and your home appreciates, that equity grows into real financial cushion. You can tap it later for a major expense, a renovation, or other goals through a home equity line or refinance. The longer you stay in your home and keep making payments, the more equity you build. It's one of the best reasons homeownership beats renting long-term. If you'd like to understand how much equity you may have built up, or how you might use it, I'm happy to walk through that with you.

Let's talk about what your home equity could mean for your future.

Tip of the Week

Your mortgage interest may be tax-deductible if you itemize. Check with your tax professional to see if it benefits you.

Tips for Homeowners

Understanding Mortgage Points

1.

One mortgage point equals 1% of your loan amount. Paying points ("buying down the rate") reduces your interest rate — typically 0.25% per point, though this varies by lender and market.

2.

Calculate your break-even: divide the cost of the points by your monthly savings. If it takes 4 years to break even and you plan to stay 10 years, buying points makes sense.

3.

Points paid on a home purchase are generally tax-deductible in the year paid (if you itemize). Points on a refinance must be deducted over the life of the loan.

Have questions about how any of this affects your mortgage or home purchase? We're here to help — reach out to the My Mortgage Company team any time and we'll walk you through your options.

Your Mortgage Advisor

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My Mortgage Company

Josh Lyon

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