Taking Out a Second Mortgage - What to Know
Yes, the real estate market has outperformed even the wildest expectations of most real estate professionals. In the last year and a half, real estate markets across the country and especially Toronto and the GTA have seen sales go through the roof with appreciation on most properties hitting upwards of 34% year over year increases. House sales are also up over 50% since the same time last year according to stats recently released by The Toronto Real Estate Board.
With properties selling in a matter of hours or a few short days, multiple bids are the norm currently, rather than the exception. It is routine to see houses selling at a hundred thousand and more than the listing price. Limited housing inventory with the added incentive of record-low borrowing cost has made Toronto and the GTA very much a seller’s market.
What does this mean for Ontario homeowners?
Among the obvious advantages that homeowners face with such a hot real estate market including seeing record-breaking appreciation and the prospect of selling over asking, the current real estate environment also provides the opportunity to access existing equity and use it to invest in real estate and/or pay for immediate expenses.
Tap into the Golden Equity
If you want to access some of the existing equity in your home, now is a great time. There are different mortgage types available that you can choose from depending on your immediate financial needs and mortgage goals. Let’s look at some of the options that would help you kick start your mortgage objectives using your greatest asset- your home; beloware different terms used in the industry, but means generally the same thing - to take equity out of your property. Taking equity out of your property can be in a mortgage loan product, a line of credit product or a combination of both. It can be in the form of a new 1st mortgage or a 2nd mortgage. A 2nd mortgage can be either a mortgage loan or a line of credit.
Home Equity Loan
Home Equity Line of Credit
Debt Consolidation Loans
Home Renovation Loans
Connect with a mortgage agent/broker to find out more details on each type of product and learn how one of these mortgage products can help you save money which in-tern creates cash flow as well as funds to use on present or future projects.
Use Your Home to Your Financial Advantage
Any second mortgage type that you take out will ultimately give you more financial freedom and can put you in a good position to invest in other property, fix up your house if you wish to resale, or pay down existing household debt.
Connect with me not only to facilitate your mortgage requirements, but to also answer any questions or to clarify anything on mortgage products or the process. I am here to guide you in making the right decision based on giving you all the details you need to make the right choice, for you.
Take advantage of your greatest asset during such a robust real estate market.