Home Equity Loan

Have you considered tapping into your home equity to send a child off to college, or remodel your home? In a home equity loan, a fixed or adjustable rate loan is secured by the equity in your home. You borrow a sum to be repaid with monthly payments during a set period of time, much like your first mortgage. The terms "home equity loan" and "second mortgage" might be used interchangeably.

Home Equity Loan Specifics

The steps toward a home equity loan are similar to getting your existing mortgage loan. Some differences are though, that the interest rate with a home equity loan is usually higher (with tax deductible interest) with lower closing costs.

You will have to provide salary documentation and have good credit to qualify for a home equity loan. To figure out your home's market value, your lending institution will ask for a home appraisal. To talk about your home equity/second mortgage loan choices, call us at 2146635355.

Have questions about your home equity? Call us at 2146635355. Debbie Oliver NMLS License #248252, America's First Choice Mortgage, NMLS License #279234 answers questions about home equity every day.