How to tap your home equity

When and how to use a reverse mortgage, HELOC or sell

  2 Premium content image

by

From the December/January 2014 issue of the magazine.

  2 Premium content image

To learn more about whether this strategy is right for you, read “Home equity: A retirement fallback plan.”

homequity

Notes: (1) Sources: HomEquity Bank, Robert McLister of CanadianMortgageTrends.com (2) Typical rate, source: McLister

2 comments on “How to tap your home equity

  1. David, I disagree that it doesn’t make sense to use your HELOC for investing.

    I agree it depends on the situation and a person’s borrowing to invest comfort level, but I think it’s wrong to generalize.

    Thank you.

    Reply

  2. I think you need a correction or at least some deeper thought about this simple table. Using your heloc to invest makes absolute sense. When done properly the interest is tax deductible. If you’re planning to live long in retirement this is not a strategy to be quickly thrown aside. I don’t disagree with all of your points but this table lists points as absolutes, and that is a bit misleading when everyone’s situation is different.

    Reply

Leave a comment

Your email address will not be published. Required fields are marked *