Every Canadian deserves to live retirement on their terms. Contact me today
to find out how https://youtu.be/xHpyTtRbuUg
General Joni Ferguson 23 Sep
Every Canadian deserves to live retirement on their terms. Contact me today
to find out how https://youtu.be/xHpyTtRbuUg
General Joni Ferguson 4 Sep
As the cost of living has increased, it may be challenging to meet your retirement income needs and access the cashflow you need to live a desired lifestyle. One advantage that many retired Canadians possess is home ownership. Tapping into some of the equity you have built in your home can help you obtain the additional funds you require.
Tap into your home equity
If you wish to stay in your current home, there are two popular methods to tap into your home equity: a Home Equity Line of Credit (HELOC) and a reverse mortgage.
HELOC: lenders typically allow homeowners to access up to 65% of their home’s value. With a HELOC, you can borrow money as needed, based on an agreed-upon amount, and you’ll be required to make minimum monthly interest payments. Unlike a conventional mortgage, there are no fixed scheduled payments towards the loan’s principal, offering you the flexibility to repay the loan at your convenience.
Reverse Mortgage: is another common way homeowners tap into their home equity. Specifically, the CHIP Reverse Mortgage by HomeEquity Bank is designed for Canadian homeowners aged 55 and above. It allows you to access up to 55% of your home’s value and receive the funds as tax-free cash, all without the need to move or sell your property. While you continue to live in your home, there are no required monthly mortgage payments to worry about. The full loan amount only becomes due when you decide to move, sell the house, or through the estate after the homeowner’s passing.
Advantages of the CHIP Reverse Mortgage
The CHIP Reverse Mortgage offers several benefits, one of the most notable being the absence of monthly mortgage payments. This feature is particularly valuable to Canadians 55+ when cashflow can be a concern. Here are some of the other benefits of the CHIP Reverse Mortgage:
Contact me to learn more about how you can use the CHIP Reverse Mortgage to tap into your home equity.
Written by the good people at HomeEquity Bank