A home equity loan is a loan that is secured against the value of your property. It is usually registered against your home as is any current mortgage. Home equity loans give valuable relief in times of financial hardship. In financial terms, your home equity equals the amount your home is worth today, less the amount that’s left on your mortgage.
A home equity loan is a very valuable source of funding for two reasons:
Beyond these two reasons, home equity loans can be very beneficial. Since the money obtained from it is yours, it can be used for a number of purposes. Below are just a few of the ways a home equity loan (also called a second mortgage loan) can help you.
Consolidating multiple high-interest credit card payments, consumer debt loans, or overdraft balances into a single (usually lower) monthly payment not only simplifies your finances but can also freshen up and improve your credit rating. Just use your home equity loan to pay out any higher-interest outstanding debts.
Whether it’s time to hire more staff, expand your marketing reach, or launch a new product or service, your home equity can help you cover the start-up costs for a new business, or provide capital for an existing company.
Considering renovations? From major repairs to large-scale renovations, home equity loans can be used to increase the overall value of your property.
Going on vacation not only reduces stress and recharges your stamina but stepping outside your daily routine can lend a fresh perspective to personal and professional goals. Consider using a home equity loan to make that dream vacation happen this year.
We don’t always know when an opportunity would come knocking. But knowing you can tap into your home equity when you need to gives you the flexibility to make quick decisions and the ability to capitalize on those fleeting investments.
Nowadays, people can obtain home equity loans regardless of what the money will be used for. After all, it is their money, so it is up to them to spend it as they wish, however some ways to use a home equity loan are more financially rewarding than others.
Chief Executive Officer
Sammy is the CEO of Lendmax Mortgage Capital, with a strong vision to build a better product for clients, he set out in the banking industry to make a difference and got sucked into the mortgage market where he spent a decade in origination, underwriting, exit planning, client management, investor relations and identifying opportunities to help families make more money as an investor.
Sami’s ability to work with clients and uncover their potential has been as asset for the banks he worked for. Sami soon realized he could do more by being independent, learning and working in the private mortgage space helped him achieve success in the business and grow into a leadership role which focuses on guiding the investor community to a tried and tested process of wealth creation.
Over the last several years Sami’s experience in investment planning with the banks is the basis of his versatile guidance offered to a network of high net worth clients during his tenure in the mortgage financial industry has resulted in a committed following that helped his clients achieve their investment goals. It also helped him create mortgage products that deliver much needed flexible solutions to the Canadian Mortgage Market while working with a concentrated focus on mitigating risk, he created programs that actually help borrowers, used technology to build an infrastructure and is now aiming at establishing a diversified mortgage offering investment corporation, all of this with attention to tax saving opportunities for Lendmax Mortgage Capital Investors.