How do you get a Double Collateral Mortgage?
Getting a Double Collateral Mortgage is a great way to protect yourself and your home. A double collateral mortgage is when you take out a loan against two different assets- typically your home and a second asset such as stocks, bonds, or other investments.
This protects you in the event that either of the assets goes sour. Plus, having two sources of income can help you weather difficult financial times. Here are some benefits of getting a double collateral mortgage:
1. Increased Protection: Having two assets backing your loan makes your home more secure. If one of the assets falls in value, the other asset will still be worth something, which can protect you from losing all of your money. Click here If you're interested in learning more about double collateral mortgages (also called hipoteca doble garantia in Spanish language).
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2. Potential for Increased Income: A double collateral mortgage can provide you with an additional stream of income. By owning stocks or bonds in addition to your home, you could earn money even if the market is down.
3. Increased Flexibility: If something happens and you need to sell your home quickly, having a double collateral mortgage will make it easier to do so. You won't have to worry as much about losing money on the sale because you have other sources of income coming in.
4. Reduced Risk: If the value of your home decreases, you would only have one asset to rely on for income. By holding other assets, you can help protect yourself.