Purchasing a home is one of the greatest investments you’ll make. So, wouldn’t you want to make the most of it? Home equity is the difference between what your home is worth and what you’ve already paid off. Taking advantage of your home’s equity is a great way to borrow a larger amount at a great rate*. So, what are the best ways to use a Home Equity Line of Credit (HELOC)? Here are some ideas! 

Home Improvements

Home improvements and upgrades around your home are a great way to use your home’s equity. Not only does completing projects like these make the home more comfortable for you, but it could potentially raise the value of the home if you decide to sell one day.

Debt Consolidation

A HELOC is a great way to pay off and consolidate debt. You can use it to pay off auto loans, credit cards, and anything with a high interest rate. Now you have a lower interest rate Home Equity Loan and more time to pay off your debt.

Build an Emergency Fund

As a rule of thumb, you should have an emergency fund of three to six months’ worth of expenses saved up. Unexpected things can happen, such as a car repair, health emergency, or a global pandemic. It’s important to prepare for what you aren’t anticipating. Your future self will thank you for it.

Life’s Major Expenses

Whether it’s college, a wedding, or anything in-between, it’s important to be prepared financially. Many turn to personal loans and other special loans for this type of expense, but if you use your home equity, you could save yourself some serious cash.

Take a Vacation

Have you wanted to travel but don’t have much wiggle room in your budget? Use a HELOC to pay for your dream vacation. That way, you can gradually pay it off while you cherish the memories from an awesome trip.

Using your home’s equity can open up great possibilities and we’d love to join you on your journey. Get started with a Vibe Credit Union HELOC today! 

*Limited time offer. Equal Housing Opportunity. NMLS ID: 405039.