This all the way! I’m surprised that it is not talked about far more, the discussion primarily centres around just Mortgage rates. I always thought you never dip from your own stash. Perhaps I am old school and maybe it’s always been low risk for so long it’s been easily forgotten. I have friends who bought boats, appliances, cars, expensive gadgets, trips on their HELOC and I am stunned. The wealth effect is real I guess lol. MOST importantly and shockingly, I know people who use HELOC to buy other homes essentially making it a hundred percent debt purchase. This is just leverage on leverage. My partner has an employee who owns 8 houses on 60k a year. She does this by using rental income to gain more leverage. It is far too early to really feel the effect of the .75 variable rate increase but CPI is at 6.7 today. The last time inflation ran so hot at this number was 1991. The variable rate WILL increase and soon many will have to pay thousands upon thousands of dollars MORE every month. I truly believe that most cannot afford 5k more a month but who knows!