Home Equity Loan

Do you need to tap into your home's equity to pay for a home remodeling project or to pay off a credit card? A fixed- or adjustable-rate loan secured by your home equity is called a "home equity loan." You'll repay your loan over an agreed time period by making payments monthly, just like your first mortgage loan. You can use the phrases "home equity loan" and "second mortgage" to mean the same thing.

Getting the Loan

Getting your current mortgage is a process similar to that of a home equity loan. Your closing costs (often 2-3& of the loan amount) are typically smaller and, although the interest rate is bigger on a home equity loan, the interest paid will be tax deductible.

You will have to provide income verification and have a reasonable credit score to qualify for a second mortgage. To determine your home's current value, your lender will ask for an appraisal of your home. To explore your home equity loan choices, call us at 2146635355.

Have questions about your home equity? Call us at 2146635355. We answer home equity loan questions questions every day.