Five ways to use the equity in your home

0:00So we've spoken about what is equity, how is it calculated, how to create equity. Let's talk about how to use that equity. Number one, do some renovations or upgrades into your property. For example, let's do a new kitchen, do a new bathroom, backyard, landscaping.

0:22There are a number of ways you can increase the value of your property by upgrading it on a regular basis. Number one, number two, consolidating those very expensive loans. For example, credit cards, car loans, personal loans, a loan from a friend, family. You can consolidate all those loans into your home loans and make one repayment.

0:46Number three, use your home equity to grow your wealth. For example, use the equity to buy a real estate, invest in shares, stocks, bonds. Something that creates a further value to your portfolio. You can start up a new business or if you have one, you can expand.

1:06Number five, to pay for any large expenses, expenses like buying a car or a boat, a wedding, a dream vacation, or to pay for medical expenses that are not covered by insurance.