What is a Home Equity Loan?

Do you want 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 is secured by the equity in your home. You borrow a lump sum to be repaid monthly over a set time frame, like you first mortgage loan. A home equity loan might also be called a second mortgage.

Getting Your Home Equity Loan

Getting your first mortgage loan is a process similar to that of a home equity loan. Some distinctions are though, that the interest rate with a home equity loan is generally higher (with tax-deductible interest) with lower closing costs.

If you would like to qualify for a second mortgage, your credit needs to be in good standing and you need to be able to document your income. To determine your home's current value, your lender will require an appraisal of your home. To check on your home equity/second mortgage choices, call us at 8102292820.

Have questions about your home equity? Call us at 8102292820. We answer home equity loan questions questions every day.