Home Equity Borrowing Test | What's Your Maximum Borrowing Potential | Smart Money-Saving Way to Borrow | Understanding H.E. Borrowing | How They Work | How to Choose a H.E. Loan |What Type of Loan is Best For You? | Home Equity Borrowing Tips | How to Apply | Closing On Your Loan

What Type Of Home Equity Loan
Is Best For You?

The funds from Home Equity borrowing can be used for a lot of different purposes. You can use both Home Equity Loans and Home Equity Lines of Credit for the same purposes.

But the differences in fund disbursal and repayment arrangements may make one more attractive for a particular purpose than the other. Here are some suggestions for how each can be used best.
Your Need Suggested Type
of Borrowing
Advantages
On-going needs such as College Tuition, Long-Term Medical Care Home Equity Credit Line Lets you withdraw money as you need it.
One-time major purchases, such as a Car, Boat or RV Home Equity Loan Fixed interest keeps costs under control.
Debt Consolidation Home Equity Loan or Lets you reduce your payments, lower your interest rate compared to credit cards.
- Home Equity Credit Line Variable interest rates may make initial payments very low, just when you need them.
Retirement Funds Reverse Mortgage Lets you live off the equity in your home.
Home Improvements Home Improvement Loan Money can only be used for home improvements. Interest is tax deductible based on State regulations.
- Home Equity Loan Cash disbursed all at once. Great for large projects. Low fixed interest rate helps with budgeting big make- overs.
- Home Equity Credit Line Cash can be withdrawn as needed over a long period of time.


Return to Home Page