Glossary

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Sweat Equity
Sweat equity refers to anything done to a property that doesn't necessarily have a cash value attached to it. For example, repairing the faucet may be thought of as sweat equity because a working faucet is something that won't impact the value of a home. Keeping the lawn properly taken care of may also be a type of sweat equity. You don't really mow the lawn or get rid of weeds simply to increase your property value. That type of work is generally done for your own happiness and comfort as a home owner. Unclogging a drain is another instance of sweat equity. No one wants to live in a house where the pipes consistently back up because of the clog. It is also not something that a homeowner or potential buyer would want to deal with.