Get Out of Debt Quickly with Equity Release
In the wake of declining home values, many homeowners are looking for ways to free up cash to pay off debts and keep their heads above water. One way that can help is through equity release, a type of financial assistance program that allows you to convert some or all of your home equity into cash. But how do you know if this is an option?
A good place to start is looking at what you’re trying to accomplish. Are your debts high-interest loans? Do you want a lump sum of funds or monthly payments for the rest of your life? These are important questions that will help determine which equity release program is right for your situation.
Then, there’s the question of whether it makes sense financially: can you afford more interest on credit cards? Will this be a one-time payment or ongoing monthly expense? How much income do you have left after paying these expenses and other living costs such as food and clothing, healthcare insurance premiums etc.? The answer may surprise you! In fact, 95% percent of people who apply for equity release find they qualify.
Also, your age and the age of your spouse is important. The older you are, the more likely it is that equity release will be an option for you. Because of this, it is a perfect solution for seniors who are no longer working and want a source of income to meet their daily living expenses.
Finally, you need to decide whether this is the best time for you. You may be thinking about applying while your home value is higher than it otherwise would have been, but that doesn’t mean equity release is a good option if you want to stay in your current home or if there are other reasons why now might not be the right time.