Tapping into Your Home Equity
Do you want to tap into your home's equity to pay for a home remodeling project or to pay off a credit card? With a home equity loan, your fixed or adjustable rate loan is secured by the equity in your home. As with your first mortgage, you'll borrow a specific sum of money to be paid back monthly over a certain period of time. The terms "home equity loan" and "second mortgage" are often used interchangeably.
Getting the Loan
You will be accustomed to the process as it's much like the process toward your first mortgage. You will be happy to know that the closing costs are lower with this loan, and although there is a larger interest rate than a traditional mortgage, the interest can be deducted on your taxes.
You'll have to provide income verification and have a positive credit score to qualify for a home equity loan. To assess your home's current value, your lender will require a home appraisal. To explore your home equity options, call us at 214-663-5355.
Have questions about your home equity? Call us at 214-663-5355. Debbie Oliver NMLS License #248252, America's First Choice Mortgage, NMLS License #279234 answers questions about home equity every day.