Types of Home Equity LoansThere are at least two types of home equity loans. The first is a term or closed end loan and the second is basically a line of credit. Most people prefer to refer to them as a second mortgage because they are secured against your home much like your first home loan or mortgage. Typically these types of home equity loans usually have a payback life of between 5 and 15 years. The term loan is a one-time lump sum payment that is paid off over a set amount of time. There is a fixed interest rate which allows for the same loan repayment each month. After you get your money you cannot borrow further from the loan. A home equity loan line of credit works more like a credit card. You are allowed to borrow up to a certain amount for the life of the loan. The time limit is usually set by the lender of the loan. During that time you can withdraw money as you require it to purchase items or pay for things that interest you. As you pay off the principal your credit revolves and you can use it again. This credit line gives you more flexibility than a term home equity loan. Which ever of the two types of home equity loans that you should use depends on your unique situation. You can base your decision on some common questions such as how much money will you need, how long will you need the money for, how long will you need to pay the loan off and how much of a monthly payment can you afford. Timothy Gorman is a successful webmaster and publisher of Military-Loans-Online.com. He provides more free financial information and types of home equity loans 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.
MORE RESOURCES updated Tue. April / 23 / 2024 Should You Refinance Halfway Through Your Mortgage? Bankrate.com 10-year refinance rates: What to know about the current market CNN Underscored 15-Year Mortgage Refinance Rates: Compare Current Rates Business Insider Will Interest Rates Go Down in May 2024? | Mortgage Rates Forecast The Mortgage Reports How to Refinance Your Mortgage NerdWallet Average Mortgage Interest Rates: Mortgage Rates by Credit Score, Year, and Loan Type Business Insider Loan Modification Vs. Refinance Bankrate.com 30-Year Mortgage Refinance Rates Business Insider Mortgage Interest Rates Today, April 22, 2024 | The Still-Hot Economy is Keeping Rates High Business Insider Mortgage Interest Rates Today, April 21, 2024 | Rates Remain Near 7% Business Insider Mortgage Interest Rates Today, April 19, 2024 | High Rates Make for a Challenging Homebuying Season Business Insider The best mortgage lenders for refinancing in April 2024 CNN Underscored Mortgage Interest Rates Today, April 20, 2024 | Rates Remain Elevated, but They Could Fall Later This Year Business Insider Should You Refinance Your Mortgage In 2024? Bankrate.com How To Refinance A Rental House Bankrate.com Mortgage Refinance Rates: Compare Current Rates Business Insider Best Mortgage Refinance Lenders In 2024 Bankrate.com Current mortgage refinance rates CNN Underscored How To Get A Home Equity Loan With Bad Credit Bankrate.com Best Mortgage Refinance Lenders of April 2024 Business Insider When to Consider Refinancing Your Mortgage Business Insider Mortgage Rates Chart | Historical and Current Rate Trends The Mortgage Reports Refinance Requirements: What You Need to Refinance Your Home in 2024 The Mortgage Reports Mortgage Rate Forecast February 2024 Bankrate.com Refinancing a Home Equity Loan (2024 Guide) MarketWatch How Soon Can You Refinance a Mortgage? NerdWallet Conventional Refinance Rates and Guidelines for 2024 The Mortgage Reports Mortgage Rate History: 1970s to 2023 Bankrate.com 30-year refinance rates: What to know CNN Underscored Current 15-year refinance rates — and lenders that offer them CNN Underscored With property values strong in 2023, many homeowners tapped home equity lines of credit, pushing total HELOC ... Miami Herald Best Refinance Lenders of April 2024: Refinance Your Mortgage The Motley Fool When to Refinance Mortgage: Is it Time? - Buy Side from WSJ The Wall Street Journal Pros and Cons of a Cash-Out Refinance Bankrate.com Should I Refinance My Mortgage Now? When to Refinance As Rates Drop Business Insider What Credit Score Do I Need To Refinance? Bankrate.com Office of Research blog: A look at cash-out refinance mortgages and their borrowers between 2013 to 2023 Consumer Financial Protection Bureau Will Mortgage Rates Go Down in 2024? What Homebuyers Should Expect Business Insider The Sales Pitch for an 8% Mortgage: Buy Now, Refinance Later—for Free The Wall Street Journal Mortgage Interest Rates Today, April 16, 2024 | Rates Remain Elevated After Last Week's Spike Business Insider Mobile Home Refinancing | Loans & Rates 2023 The Mortgage Reports Current mortgage interest rates: Mortgage rates today CNN Underscored
|