In the journey of homeownership, the prospect of witnessing your property’s value appreciate over time is undoubtedly enticing. However, amidst this potential for growth lies a challenge known as negative amortization, a hurdle that can impede the building of equity. As we delve into the intricacies of negative amortization and its potential consequences, it becomes crucial to understand how it happens and, more importantly, how to avoid it. Join us as we explore the dynamics of negative amortization and empower you with the knowledge to safeguard your home investment.