Using the equity in your home is a great way to fund that major expense using the equity you’ve built in your own home. Review this home equity loan information for all the details on your next loan.
You can use the equity you have in your home to secure financing for your next large expense, pay off higher rate credit cards, pay for tuition, go on vacation, remodel your house, get new appliances, or anything else you need. Options for Home Equity Loans are available with a few different products. In Texas you are able to borrower 80% of the value of your home. Your Home Equity Loan rate and monthly payment is fixed for the term of your loan. It’s the perfect choice when you want to know exactly how much your monthly payment will be.
Example:
Value: $250,000
Balance: $100,000
Available New Loan: $200,000
Under this scenario you would have a new loan of $200,000 ($250k * 80%) minus $100,000 for the old mortgage to be paid off would leave you with $100,000 less any closing fees. The value is determined by a mandatory appraisal by a 3rd party appraiser. These appraisals run $450 – $650 depending on the size of your home and lot.
Home Equity Loans versus HELOCs
Home Equity Loans typically serve a long-term need and are single advance with a sum of money all at once. The loan is repaid over a fixed term, at a fixed interest rate, with equal monthly payments (Principal & Interest). Home Equity Loans are designed for homeowners making a large, one-time purchase, undertaking a home improvement, consolidating debt, buying a car or some other asset.
A Home Equity Line of Credit (HELOC) is similar to a credit card. You have a certain amount of money available to borrow and pay back, but you can take what you need as you need it. The line allows you the flexibility to borrow funds when you need them up to a set limit, then repay and reuse the line at any time. The interest rate is typically and adjustable rate mortgage and your rate will vary depending on the market conditions.
The closing process will generally take 3 weeks from start to finish. In Texas you can only do an equity loan once every 12 months from the date of the previous home equity loan. Also when you purchase a new home you will have to generally wait 6 months from the date of the purchase to do a home equity loan. Put the equity in your home to use and give yourself peace of mind with a fixed interest rate and monthly payment. These loans provide great value for a variety of ways to help you. Call us direct for more information on your next home equity loan.
Affordability
Great rates, low fees.
Convenience
Online or in person–apply on your time, the way you want.
Flexibility
Close on your terms. We’ll send someone to you, whether it’s at your home or the local coffee shop.
No surprises
Our monthly payments are affordable and predictable.
Expertise
Mortgage experts are available to walk you through every step of the loan process to deliver what you need on time.
Call us today 281-627-4222 or click on the “quick quote” on this page. We’d love for you to experience our award winning service!
Written By: Steve Head / Top Producing Loan Officer
