Are you close to reaching your credit card limit, have high-interest rate debt, or need to pay off your mortgage quickly? A home sale could be the answer. While this may seem like an unconventional step, when done correctly it could help get you out of debt sooner than anticipated.
Selling Your House with Equity
Many are surprised to know how much value is in their home, but that doesn’t mean you can sell it without going through a process. One common misconception on houses is that they’re worth what you owe on the mortgage; this simply isn’t accurate as appraisers only take into account the value of your residence minus any outstanding balance on the loan. Visit Revival Homebuyer today at https://www.revivalhomebuyer.com/ to view our upcoming events: https://www.revivalhomebuyer.com/sell-my-house-fast-in-clearwater/
If you are in Chapter 13 bankruptcy or another similar repayment plan, the proceeds from selling your house can be used to pay off as much debt as possible. While you won’t be able to eliminate all debt at once, making a dent should be possible.
Debt relief vs. house exit
On average, individuals spend $5,622 annually on housing costs – this adds up to an incredible $630,000 during retirement – can you imagine getting that much money out of a home during your golden years?
You don’t necessarily have to live in the house you are selling. You could either rent it out as an investment property or generate income each month from its rental earnings while living off of what the house brings you.
Are you looking to start over?
Selling your house could provide funds that are far more valuable than any loans currently held. That could allow you to move into a cheaper home – or, if that isn’t an option, free up as much as $100,000 within one year!
Reduce Interest for Your Future
If you have student loans or other high-interest debt, this could be one of the wisest financial moves ever. With a home worth up to $400,000 and debt payments up to $100,000, you’ll have less money each month and that helps reduce your interest rate. Plus, if things go south in your personal finances, there are always options; just go back. You always have options.