Equity values are up. What will you do with yours?
October 11 2018
American home equity is at an all-time high, reaching more than $1 trillion earlier this year. And as home values continue to grow, tappable equity is only going to increase in the coming months.
This is great news for homeowners. Having home equity you can tap into offers easy access to funds for property improvements, paying off high-interest bills or even taking a much-needed vacation. How much home equity do you have to tap? Thanks to today's hot market, you might have more than you think.
Leveraging your equity with a home equity line of credit (HELOC) or home equity loan could allow you to:
1. Buy an investment home or rental property.
Whether renting it full time to a tenant or putting it on Airbnb, an investment property can open up an entirely new stream of income. It's also a great way to diversify your investment portfolio.
2. Purchase a vacation home.
Home equity loans are an excellent source of initial funds for vacation homes. Are you looking for a second property here in Illinois for weekend trips with the family? Or would you like to become a snowbird and find a vacation property in another state? Either way, it's time for you to invest in some much-needed R&R.
3. Pay off or avoid high-interest debts.
Have a child heading to college soon? Your equity can ease the financial burden and help you avoid taking out student loans.
If you have auto loans or balances on high-interest credit cards, using equity could save you thousands in interest over the years.
4. Improve your property.
Home renovations planned wisely can lead to a higher property value, which means more profits when it comes time to sell.
Contact me to find out how much equity you have to tap or to learn more about home equity loans or HELOCs.