Do you want 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 that is secured by the home equity you have built up is called a "home equity loan." You borrow a sum to be repaid monthly over a set period of time, just like your first mortgage agreement. People often use the terms "home equity loan" and "second mortgage" to mean the same thing.
Home Equity Loan Specifics
The process for a home equity loan is similar to getting your existing mortgage loan. You'll be pleased to know that the closing costs are smaller with a home equity loan, and even though there is a bigger interest rate than a traditional mortgage, the interest may be deducted from your taxes.
You will have to document your salary and have a positive credit score to qualify for a home equity loan. A home appraisal will be necessary to determine the home's current market value. To explore your home equity loan options, call us at (877) 428-6847.
Regulated by: the Division of Real Estate (CO) ∙ the State of Nebraska Department of Banking and Finance (NE) ∙ the Arizona Department of Financial Institutions (AZ) AZ# 0923361 ∙ the Office of the State Bank Commissioner (KS) Kansas Licensed Mortgage Company License No. MC0025226 ∙ the Wyoming Division of Banking (WY) WY# 2277. In Texas we are licensed and operate as 1st FFS, Inc. TX License #1230161. We do business in accordance with the Fair Housing Law and Equal Credit Opportunity Act. – NMLS# 109995