Selling Your Property Outright vs. Getting a Cash-Out Refinance vs. Equity Sharing Agreement: What to Consider
When it comes time to sell your property, you have a few different options. You can sell it outright, get a cash-out refinance, or enter into an equity sharing agreement. Each option has its own set of pros and cons that you should consider before making a decision.
Selling Your Property Outright
If you sell your property outright, you will get the full purchase price in cash. This is a quick and easy way to sell your property, but you will not be able to stay in the home and may have to find another place to live.
Getting a Cash-Out Refinance
If you get a cash-out refinance, you will be able to stay in your home and use the equity that you have built up in the property to get a loan. This can be a good option if you need money for home improvements or other expenses. However, you will have to make monthly loan payments and may end up paying more interest over time.
Equity Sharing Agreement
An equity sharing agreement is a contract between you and another person or company in which you agree to share the equity in your home. This can be a good option if you need money but do not want to sell your property outright or take out a loan. However, you will need to find a trusted partner and draw up a legally binding agreement.