Tap into Your Home Equity

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 home equity loan is a fixed or adjustable rate loan that uses the equity in your home as collateral. You borrow a sum to be repaid in monthly payments over a set time frame, much like your original mortgage. The terms "home equity loan" and "second mortgage" are often used interchangeably.

Home Equity Loan Specifics

Getting your current mortgage loan is a similar process to that of a home equity loan. You will be pleased to know that the closing costs are smaller with a home equity loan, and even though there is a larger interest rate than a first mortgage, the interest can be deducted on your taxes.

You will have to provide salary verification and have a positive credit score to qualify for a second mortgage. To figure out your home's market value, your lending institution will require an appraisal of your home. To talk about your home equity choices, call us at 800-998-6003.