Accessing Equity Shouldn’t Be This Hard – Or This Expensive

Homeowners, especially those with substantial home equity, are faced with a quandary. From the outside, everything appears to be in order. As house prices continue to rise, the amount of equity grows with them.

And there’s a lot of it. According to the Federal Reserve, home equity has increased by nearly 80% since 2020, rising from $19.5 trillion to $35 trillion today. As noted by the Wall Street Journal*, that’s about twice the growth rate of stocks and bonds.

In fact, the average homeowner with a mortgage holds $313,000 in equity as of 2025, as reported in the WSJ article.

So, the old adage is correct. Owning a home is often considered the best investment.

But it hasn’t quite worked out that way. Accessing home equity can be challenging. Meanwhile, due to the increasing value of homes, property taxes are also rising.

It’s enough to make homeowners think, “Why do I need all this equity? It’s costing me money.”

Just four years ago, $258 billion of home equity was tapped into through cash-out refinancing. Last year, the number dropped to $78 billion.

Interest rates are too high for most homeowners to cash out. As the WSJ article points out, many of them hold mortgages with decades-long terms and low interest rates, often less than 5%. Today, according to BankRate.com, are one or two points higher. Meaning a refinanced mortgage today costs more than homeowners have been paying for years.

That’s not even the whole story

The economy isn’t helping. Consumer confidence plummeted in March, indicating that Americans are spending less. Retirement accounts, such as 401(k) balances, are declining due to an unstable stock market.

As mentioned earlier, property taxes have increased by 14% since 2019, with the average homeowner paying $4,062 annually, according to The Wall Street Journal.

Home equity could even reduce financial aid to colleges and universities. The WSJ article also notes that many higher education institutions consider home equity as a form of wealth for the families of students.

How is that possible when you can’t even access it?

Breaking it down – and finding a new way

Here are the brass tacks. Equity is growing at a faster rate than ever, but the cost of accessing it is surging along with it, and most importantly, homeowners can’t afford it.

There is a solution that’s becoming increasingly popular, which flips that dynamic without requiring interest payments, new debt, or selling or refinancing the home.

It’s called CHEIFS (Cornerstone Home Equity Insurance/Investment Funding Solutions). It allows homeowners to convert their home equity into tax-free cash for retirement planning, insurance, annuities, and other financial strategies.

Or to pay property taxes and their children’s college tuition.

It works like this. Homeowners sell a fractional interest in their home to Cornerstone Financing, generating funds without liquidating assets while enjoying the benefits of homeownership.

Most homeowners today are unsure of the benefits of their home equity. They feel stuck, fretting about the state of the economy and having little recourse to navigate it successfully.

Now, they can sail smoothly through the rough seas by finally accessing that dormant home equity while still leaving a legacy for their children. Along with their financial advisors, they can plan smarter without interrupting portfolios, taking out a loan, or putting up collateral.

Homeowners can succeed.

_{This is an advertisement. For informational purposes only.  This is not financial or tax advice. Always consult a financial advisor or tax professional for financial or tax advice.}

_{*Americans Have $35 Trillion in Housing Wealth—and It’s Costing Them, Wall Street Journal, April 7, 2025. The Wall Street Journal is not affiliated with Cornerstone Financing and does not endorse its products.}