|Mortgage & Refinancing Information|
Free Home Equity Loan Information
Home equity loan information can sometimes be confusing and misleading. I have written this article to properly explain home equity loans. Basically equity is the difference between your home's appraised -- or fair market value and the outstanding mortgage balance you owe on your home. Borrowing against the equity built up in a home has become extremely popular.
If you're wondering why this has become popular it's due to the tax deductions and the low interest rates that are current in today's housing loan market. It's also because of the growth of equity in most people's homes.
For instance if you buy a house for $100,000 with a down payment of $20,000 and have made payments of $10,000 towards the principal then you would have $30,000 in equity. But wait suppose your house has increased in worth to $120,000 in that case then you would have $50,000 in equity that you could use for a home equity loan.
This equity is very valuable because you can use it without selling your home. Banks consider this equity to be secure since it is based on your house so they are more inclined to give you lower rates when loaning money against the equity.
However, don't be mislead. The cost for these loans is higher then your actual mortgage rate but since many people use their home equity loan to pay off credit cards or make house improvements they end up paying less then if they had gotten a traditional loan. Best of all the interest on this type of loan is also tax deductible. When you add it all up you can actually save money in finance charges.
Anyone using this type of loan must be careful though because if a person defaults or fails to make payments on this loan then the bank can forclose on your house which could prove to be a financial nightmare for the careless borrower. For this reason I recommend using caution when using a home equity loan.
Timothy Gorman is a successful webmaster and publisher of Military-Loans-Online.com. He provides more free financial and home equity loan information that you can research in your pajamas on his website.
Other websites operated by Tim
Cellular-Phone-Solutions.com - Free information and resources regarding cell phones and cell phone plans.
Best-Free-Insurance-Quotes.com - Offers discount auto, life and home insurance.
Boost in collateral, not 'feeling richer,' drives consumers to borrow as home prices rise - Phys.Org
AmeriServ Financial Reports Earnings For The Third Quarter And First Nine Months Of 2017 - PR Newswire (press release)
How to Save Money by Using an Independent Commercial Mortgage Broker
Being a creature of habit can cost you plenty when it comes to applying for a commercial mortgage instead of going through an independent commercial mortgage broker. Let me tell you why.
How To Get a Mortgage If Youre Self-Employed
If you are self-employed, work on a contract basis, or have an income that is irregular or comes from multiple sources, it will generally be harder for you to get a mortgage than it is for someone who is an employee and can easily prove their income.A self-employed person is someone who runs their own business and works for themselves without an employer.
Bad Credit Mortgage Refinance - Should I, Shouldnt I?
It is a common financial scenario across households in the Western world. Multiple debts have started to build up: a car loan here, a department store loan there; a bank loan here and several credit cards there.
Thinking About Refinancing Your Loan?
Refinancing your home or property is a big decision that could drastically affect your financial future, for the good or the bad, depending on how smart you go about the process. Take the time to explore all of the different refinancing options you have available to you.
Mortgage: Effective Household Investment for Financial Autonomy
If finances had a copyright, we would have bought it by now. But it is hardly sold anywhere near the place we live.
A Home Equity Loan - What You Should Know?
Asking yourself, "Is a home equity loan right for me?" is the first and most important step to take.Home equity loans have become so popular today because of increasing home values.
What is a Current Account Mortgage?
Current account mortgages are fairly new to the sector. They are quite different to other types of mortgage as they enable you to set off all your savings and debts in one single account.
Total Cost Of Credit vs Monthly Payments
I read a press release the other day which points to the fact we need to be very careful with our finances. The subject of the release was home mortgages.
Jumbo Mortgage Loans - Getting Approved for a Jumbo Mortgage Loan Online
Getting approved for a jumbo mortgage loan online is similar to getting approved for a traditional mortgage when you use a mortgage broker. However, you can expect to find lower interest rates online with better terms.
Guide to Interest Only Mortgages
Here is a useful guide to interest only mortgages. An interest only mortgage is one where your regular payments only go to pay off the interest on the money you borrow.
Home Equity Loans Can Provide Cash in a Hurry
Think About the Long Term. Estimate how long you expect to stay in your current house.
Benefits of a Remortgage
There are many benefits in choosing a remortgage, some of which are listed below.A remortgage is changing your mortgage without moving your home.
Home Mortgage Loans - Fixed Rate, Adjustable or Balloon, Which One Is Right For You?
When you're shopping for a new home-especially for the first time-all the terms and expressions may be confusing and difficult to understand. Adjustable rate, fixed rate, balloon payment - how do you decide which is the right type of home mortgage for you if you're not even sure what each of them are?The name of the mortgage type usually has to do with how you'll pay for your loan - how the interest on the loan is being determined by the bank.
Why Choose a Home Equity Loan?
There are many reasons for choosing a home equity loan. A home equity loan allows homeowners to obtain a loan in addition to their original loan using the equity in their home.
Should You Get a Home Inspection?
It's very important, and in my opinion, mandatory to have a home inspection done before you close on a house. The inspection helps with giving you an objective evaluation of any problems with the home before you move in.
Home Equity - Let the Market Eliminate Your Private Mortgage Insurance
In decades past, most people who were interested in obtaining a home loan were required to put down at least 20% of the purchase price. Those days are gone, and as home prices have risen faster than incomes, the average down payment required by lenders has dropped.
Homeowner Loans - Whats Available?
It isn't difficult to get a homeowner loan if you own your own home, hundreds of UK lenders will lend up to 95% Loan to Value of your property and some as much as 125% Loan to Value if you find you have little or no equity at all.Homeowner loans are available to those that own or pay a mortgage on their house, bungalow, flat or cottage.
Why a Mortgage Professional Beats a Banker Every Time -- The Story Tells It All
The best way to explain why a mortgage professional is always better than a banker is to use an anecdote. My parents lived in the house I grew up in for 35 years, so it was finally time to move.
Mortgage Glossary of Terms
A brief list of some of the most common Mortgage terms.Adverse CreditThe term used if the borrower has a poor credit history.
Non-conforming Home Loans vs Conforming Loans
The simple definition of a "non-conforming home loan" is: You have a job and can make the payments. Your credit is used only to determine your interest rate and the loan amount to value of the home ratio.
|home | site map|
|© 2006 TIGER MEDIA|