As housing prices have increased over the years, so has the equity in many people’s homes. According to Kash Toor, CEO of Mortgage Partners Corporation, this equity can be put to work to help homeowners fund larger expenditures.
Equity Can Help with Larger Projects
Equity, which is the difference between the amount owed on a mortgage and the value of the property, increases over time as payments are made and housing prices continue to rise. It is also a great way to secure a stable interest rate that is much lower than other forms of borrowing like personal loans or credit cards.
Many people use their home’s equity to fund larger home renovation projects or to pay down higher interest debts. For responsible borrowers, an equity loan makes a lot of sense. “If you're looking to add interior renovations, a beautiful exterior landscape to your home, or even paying out any personal tax arrears with the CRA, now is the time to consider the financing,” says Kash.
Interest Rates Are Predicted to Rise Again
The Bank of Canada has already raised its benchmark interest rate this year and it is expected to continue to do so multiple times over the next few years.
Taking advantage of today’s lower rates by securing a home equity loan now makes a lot of sense. “Interest rates are rapidly rising in order to slow down inflation,” explains Kash. “It is a great time to pull out your equity and to put it to work for you.”
Flexible Borrowing Options
There are a number of options available for homeowners, including open term loans, flexible payment options, one mortgage one payment products, and home equity lines of credit. The right type of loan depends on an individual’s own personal financial situation. Mortgage brokers can help homeowners to choose the loan that best suits their specific circumstances.
Experienced mortgage brokers like Kash and his team at Mortgage Partners Corporation not only have access to a number of products that can help individuals to achieve their own personal financial goals, but they work with a wide variety of lenders. Since they are a fully independent brokerage, they are not tied to one brand or bank.
“Mortgage Partners will help to ensure that the best suited product for each individual borrower is met and catered to their own situation.” says Kash.
For more information about how a mortgage broker can help you to make your home’s equity work for you, visit Kash and his team online or call 1-800-571-4996. Mortgage Partners Corporation serves south Simcoe, Vaghan, New Market, Richmond Hill, North York, and the GTA.