Invest Wisely

Should You Tap Into Your Home Equity Right Now?

Christina Rodgers
Should You Tap Into Your Home Equity Right Now?
Quick FYI: The companies and recommendations in this post contain sponsored links. Which means A Quarter Richer receives compensation or a commission. You can learn more about our Advertising Policies by visiting here. We are telling you this because honesty is the best policy.

The average homeowner has about $80,000 in home equity value. That’s great news, but how should you use it, if you use it at all?

If you want to liven things up in your home, the kitchen is the best place to start. Your kitchen may be the most important aspect of your home to potential home buyers. If you have the budget or the equity in your home, you may want to enjoy the benefits of having an amazing kitchen right now.

People choose kitchen remodeling for a variety of reasons. According to a 2017 Houzz study, 43% of respondents remodeled because they could “no longer stand the old kitchen.” What they should have said, is that they know when you remodel the kitchen, it increases the value of their home.

On average homeowners who upgrade their kitchen see an average increase of $17,000 in the value of their home. (1) That average increase is an important number, as you may want to use that as a barometer of how much you actually spend on your kitchen remodel.

We’ll tackle all of those questions (and more) to help you update your kitchen the smart way!

How Do You Get A Home Equity Loan?

How Do You Get A Home Equity Loan

A home equity loan is a type of “second” mortgage. Your first mortgage is the one you used to purchase the property, but you can use additional loans to borrow against the home if you’ve built up enough equity.

Like anything, it pays to shop around. Speaking with a qualified lending service make the most sense. By making financial institutions compete for your services, you can shop for the best rates .

Should you sit on your equity?

That is a personal decision as only you know your finance. But, if you are worried about your retirement or your college savings fund for your children is slightly sparse, I would say “No”. You would be better served focussing on these two apps for now and when you have saved a little more than I would utilize that home equity slush fund.

Cleo

How it Works:

Cleo is an AI-powered chatbot that acts as a replacement for your banking apps. Chat to Cleo in Facebook Messenger, any time, anywhere. Cleo securely links to your accounts, to make handling your money feel easy - like your personal AI helper.

Cleo can access up to 12 months data, scanning your transactions and turning into useful, actionable information.

Developed by a data science team and machine learning experts who want to take on banking apps.

Cleo is a digital assistant you trust to give you the real picture of your financial experience and where you need to set aside money every month.

Trim Financial Manager

Buckle down on Bills, Save Money

Do you know how you spend every dollar each month? Are you still paying for services you no longer use? If you answer to either of these questions is no or maybe, you can benefit from Trim Financial Manager.

How it Works:

Trim is free chatbot can save you money in seconds, by analyzing your bank and credit card accounts for money-saving opportunities by canceling subscriptions, fighting bank fees, and can even help you renegotiate your car insurance.

One View of All Your Subscriptions

The Trim Financial Manager is also partnering with popular service providers like AT&T, Comcast, and Time Warner. So the chatbot can also save you additional money by finding discounts and promotions, to prevent you from overpaying each month.

I’ve uploaded my Comcast cable bill to, Trim will analyze your Comcast cable bill to see if they can lower it and still keep your same plan.

Acorns

Acorns is an investment app that encourages you to invest your spare change. Acorns monitors your bank account and automatically invests the change from your daily purchases.

The best way to describe Acorns is like having a financial planner in your back pocket, and bonus - you get cool infographics and a dashboard. Acorns fees are $1/month for all accounts under $5,000. Acorns is a great app to dip your toes in the investment market or to just watch those quarters stack up.