Thursday, June 23, 2016

National Debt Relief Talks About The Relationship of Financial Stress and Homeowners

New York, NY (PRWEB) National Debt Relief recently shared in an article published May 13, 2016, how homeowners seems to have an advantage when it comes to financial stress. The article, titled “How To Overcome Financial Stress? Be A Homeowner,” looks at some of the things that helps people who owns a home deal with financial stress better.
The article starts off by explaining that being a homeowner seems to have a positive effect when dealing with financial stress. Apart from the fact that owning a home puts a consumer in a better financial position than someone who rents, they are also able to use their homes to deal with financial stress.
One way they are able to do that is the fact that they know they are adding on to their equity every month. Paying rent every month only makes the landlords or the people who owns the house richer and that is a never-ending cycle. Homeowners know for a fact that every payment they make every month is an investment on their part and after a definite number of years, the house will be fully paid and the payments will stop.
The article also points out that homeowners are increasing their net worth every payment they make every month on the house. This is because they add on to the equity they own on the property which in turn can be considered as part of their assets. As their worth increases, they will feel less financial stress because consumers know that they are making their finances more stable.
The house also serves as an emergency financial backup since homeowners can borrow against their equity. Referred to as HELOC or Home Equity Line Of Credit, consumers can access the amount they have paid up to the lender for emergency situations such as home repair, medical and even for loan consolidation. This can even give them the chance to enjoy a low interest rate since the house is still used as collateral .

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