Home equity best options

Jun 11, 2021 6 Comments

Hello Blinders,

Looking to get home equity on current home to make improvements on to new home we recently purchased. Current home Loan to Value ratio is 1:2.x

What arey options?
Which banks give equity line of credits quickly and at good rate / long term duration.

Never taken home equity credit so i dont know in detail how it works. I did basic google search on how it works.
But looking for expert opinions here.

Thanks in advance.

TC 320k
YoE 8+

#mortgage #housing

6

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  • HELOC or home equity loan. A heloc you have X dollars you can use and basically you get checks that you can write against that equity. You pay only interest for 10yrs. Lowish rates. Home equity loan is another possibility, it's like a fixed rate mortgage. Generally helocs are way more flexible, so I'd avoid the loan. Credit unions typically have the best rates.
    Jun 12, 2021 1
  • Uber
    abc.xyz.

    Go to company page Uber

    abc.xyz.
    For HELOCs you will get better rate from your banks. Chase, Bofa or US Bank gives 6 months to 1 year fix rates. Use that money for home renovation and make sure pay down that in a year. All the interest on that money will be tax deductible.
    Jun 11, 2021 1
    • Floating rates are like nothing right now, and HELOCs are pinned to short term indexes, based on the FED. They aren't raising rates for longer than that window.
      Jun 12, 2021
  • Google
    123abc45

    Go to company page Google

    123abc45
    You should just wait until you have the savings to do it. Home equity loans for improvements are what screwed everyone ine 2008.... how short everyone's memory is
    Jun 11, 2021 1