Canal houses with moat in twilight darkness

Home Blog Leveraging home equity: smart tips

Leveraging home equity: smart tips

Aug. 29, 2024

2 min reading time

Many homeowners have accumulated a substantial amount of excess value in their homes. Perhaps the same is true for you, and much of your equity is tied up in your home. Fortunately, you can use that excess value in a variety of ways. Here are some smart options.

What exactly is surplus value?

Surplus value is the difference between the current market value of your home and the remaining mortgage debt. If you sold your home now, you would be left with this amount as a profit, excluding selling expenses.

Surplus value mortgage

See for yourself how much you can do with your excess value! Use our calculation tools to easily and quickly calculate your financial options.

Alpina's calculation tools!

Using home surplus value

Extra money always comes in handy. Maybe you dream of a vacation home, a major remodel, or you want to help family members with a gift or supplement your retirement. You can use your surplus value in a variety of ways. Here are some options for you:

Invest in your home

You can use the excess value for home improvements such as a new kitchen, extra bathroom or insulation, which will increase your home comfort and increase the home value, without tapping into your savings.

Paying off debts

Do you have high-interest debt, such as credit card debt? Use your surplus value to pay them off to reduce your monthly expenses and give you more financial room.

Financial support for your children

Want to help your children study or buy their first home? With your surplus value, you can support them financially through a gift or loan, without getting into trouble yourself.

Supplementing your pension

If you need extra retirement, you can put your excess value to use with a top-up mortgage, where you receive a portion of your excess value each month while your home serves as collateral.

Create a financial buffer

A financial cushion helps with unexpected expenses such as medical bills or repairs; by setting aside some of your excess value, you are better prepared for such situations.