Second Mortgages Richmond Hill, ON
Your home is your most, if not one of the most valuable assets you own. When opting for a home equity loan, the equity in your home can be utilized as a solution to a number of financial matters, such as:
- To improve your cash flow,
- Consolidate debt,
- Pay off mortgage arrears,
- Manage emergency expenses,
- Launch a business or simply have extra cash on hand.
Unlike other types of loans that take into account your income or your credit history, a loan through strictly the equity of your home allows you to borrow money at a low-interest rate using the equity that you have built up in your home over time as collateral. Your home’s equity is calculated by subtracting what you owe on your mortgage from your home’s current market value.
For instance, if your house is valued at $300,000 and you still owe $100,000 on your mortgage, your equity would be $200,000. A loan specialist will be able to tell you exactly how much you could be eligible to borrow.