If you need cash for a home renovation, vacation, car or any purpose, look at the equity you have in your home. Interest rates are down and home values are up, and that’s good news if you’re a homeowner with home equity.
There are four ways to get cash using your home equity:
• Cash out Refinance – get a new mortgage loan equal to your current mortgage plus the cash you need. When mortgage interest rates are low, borrowers often use the low-interest mortgage cash to pay off higher-interest debt such as credit cards.
• Home Equity Line of Credit (HELOC) – Usually a second loan on the home, this is a line of credit to draw from when you need it.
• Reverse Mortgage – For borrowers age 62+ who are income deficient – due to retirement, for example - but have sufficient home equity to pay off the current loan and have some funds left over.
• Rehabilitation Mortgage – For financing home improvements, from repairs or painting to remodeling a kitchen or adding a pool. There are two types of loans based on the amount of work being done, and you can arrange to have contractors paid for half of the work up front or at intervals during the process.
For more information on home equity loans and other types of mortgage financing, contact Steve at Nation’s Lending, 520-612-0479, or stop in at 210 W. Continental Road, Suite 116A, Green Valley AZ 85622.
Corp NMLS # 32416