Home Equity Loans
Have you considered tapping into your home equity to send a child off to college, or remodel your home? A home equity loan is a fixed rate or adjustable rate loan that is secured by your home equity. You'll repay your loan over an agreed period of time by making payments monthly, just like your original mortgage loan. A home equity loan might also be referred to as a second mortgage.
Getting the Loan
You'll be familiar with the process as it is much like the process toward your first mortgage. You'll be happy to know the closing costs are smaller with this loan, and although there is a higher interest rate than a first mortgage loan, the interest may be deducted from your taxes.
If you'd like to qualify for a second mortgage, your credit has to be in good standing and you must be able to document your income. To assess your home's current value, your lending institution will ask for an appraisal of your home. To explore your home equity/second mortgage choices, contact us at 303-220-7500.