Perhaps you are considering tapping into your home equity to renovate your kitchen, or take care of the balance on 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'll borrow a particular amount to be paid back monthly over a certain period of time. The terms "home equity loan" and "second mortgage" are often used interchangeably.
You'll be comfortable with the process as it's much like getting your existing mortgage. You will be happy to know that the closing costs are lower with a home equity loan, and although there is a bigger interest rate than a first mortgage, the interest can be deducted on your taxes.
In order to qualify for a second mortgage, you will need a reasonable credit score and you should be able to verify your salary. To assess your home's current value, your lender will ask for an appraisal of your home. To discuss your home equity/second mortgage loan choices, call us at 9094671090.
Do you have a question? We can help. Simply fill out the form below and we'll contact you with the answer, with no obligation to you. We guarantee your privacy.