Home Equity Loan

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 home equity loan is a fixed-rate or adjustable-rate loan that uses your home equity as collateral. You borrow a certain amount to be repaid with monthly payments over a set time frame, similar to original mortgage agreement. A home equity loan at times is also referred to as a second mortgage.

Getting Your Home Equity Loan

The process for a home equity loan is similar to getting your original mortgage loan. You'll be pleased to learn that the closing costs are smaller with a home equity loan, and even though there is a bigger interest rate than a first mortgage, the interest may be deducted on your taxes.

To qualify for a second mortgage, you need to have a reasonable credit score and you need to be able to provide documentation of your income. To determine your home's current value, your lender will require a home appraisal. To explore your home equity loan choices, call us at (281) 778-0805.

Have questions about your home equity? Call us at (281) 778-0805. 1st Credential Mortgage Inc answers questions about home equity every day.