You are sitting in your house and are thinking about selling your current home and buying the next home. Maybe you have outgrown your home. You have more kids than when you first bought. Kids are getting bigger and the house is feeling so much smaller. Maybe you have been there for years and the kids are gone and you want to go get your dream home. So you say that you want to wait for the market value to increase another 10% before you buy the next house. That you want a little more equity in the home in order to take the money to the next place. Let's look at the numbers to see if that makes sense.
Let's say you own a home that currently is worth $500k and you want to buy a home that is currently worth $750k. Now let's say a couple of years have passed and housing values have increased 10%. The home that you are currently living in is now worth $550k and you are thinking "great I just gained $50k". The only problem is that the home that you want to buy also has gone up 10% and is now worth $825k. You just had a net loss of $25k.