Home Equity Loans
In certain ways credit cards are similar to credit cards.
They have variable rates, quick cash access, good for those with less than
perfect credit and are secured by your home. Most lenders consider these loans
safe because most people make their payments.
Pros of home equity loans
- Typically lower interest rates
- Qualifying is easier.
- In some loans the interest is tax deductible.
- Larger amounts of cash are available based on your equity.
- You use the money for other purposes: Home additions, remodeling
consolidate other debt, and college funds.
- You can borrow up to 80% of your equity.
Cons of home equity loans
- Checkout the lender, make sure they are reputable.
- Your house is held as the collateral
- Can you afford the payment?.
Make sure you do your homework. Is a home equity
loan right for you? Shop around among banks, brokers and credit unions.