If you're a number of years in the home owners, chances are that your property value over. The surplus value is the difference between the mortgage amount and the value of the home. There are various structures to take advantage of the surplus value to your home.
Before you can use the equity in your home, you need to convert it into cash: ie recording on the value of the home.
If the equity is released upon the sale of the house, ?? must ?? - To benefit from tax relief - use the profits to finance the second home. If you do not, then the mortgage interest on the part of the new mortgage is not deductible. The purpose of the loan scheme is to encourage house owners to use the equity to finance your new home.
You can also use the equity for conversion or to fund overdue maintenance of your home. When you free up money through your mortgage, this is an economical way to borrow money. To qualify for tax deduction of interest, you must use the mortgage to remodel your home or improve.
Another possibility is to take up the surplus value by means of a higher subscription of the mortgage. Due to higher registration will allow you in the future without the intervention of a notary increase the loan up to the amount for which the mortgage is registered.
You must be able to show that your home has increased in value or will increase by the renovation. This is possible by issue of a written appraisal, but in most cases is a real-property disposal sufficient.
If you want to on your pension, you can choose additional supplements to take over your value through increased registration of the mortgage or taking out a new mortgage. The equity on your property is then released once. The recorded amount you can use to supplement your pension or to take early retirement. The downside is that the surplus value is not deductible from income tax. There is to be achieved through tax bank savings or by taking out an annuity. The premiums are then taxed.
How you use the equity in your home, you always have to deal with costs. Appraisal fees, notary costs, costs for taking out a new mortgage, commission fees and recording fees. It is wise to contact a mortgage broker or intermediary.