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." Similar to your first mortgage, you borrow a specific sum of money to be repaid monthly over a period of time. People often use the terms "home equity loan" and "second mortgage" to mean the same thing.
Home Equity Loan Specifics
You'll be accustomed to the process as it is a lot like the process toward your first mortgage. The closing costs (usually 2-3& of the loan amount) are usually smaller and, although your interest rate is larger on a home equity loan, the interest can be tax deductible.
You'll have to provide proof of your income and have a reasonable credit score to qualify for a home equity loan. A home appraisal is needed to assess the property's market value. To talk about your home equity loan choices, contact us at 214-300-8756.
Have questions about your home equity? Call us at 214-300-8756. We answer home equity loan questions questions all the time.