Your walls are loaded with money
There is money in 'them-thar-walls'.
Ever done a renovation on an old house, and after tearing down a
wall, find thousands of dollars hidden behind the drywall. Believe
it or not, I had a friend who found $10,000 hidden in a wall when he
was tearing it down. He didn’t feel guilty because his grandma had
“willed” him the house, so the money was his anyway. He thanked her
in a prayer and the money paid for the renovation.
This is an unusual situation,
but in fact, you may even have more than $10,000 in your walls.
It’s called equity, and you can withdraw it in an Equity Loan.
How much you can take out
depends on the value of the home minus what you owe on it. For
example, many lenders will set the amount of your equity loan by
taking a percentage (say 75%) of the appraised value of the home and
subtracting the balance owed on the existing mortgage
Percentage of appraised
Potential credit line
An Equity Loan can allow you to
consolidate debt, finance a new business, pay off high interest
credit cards, improve your home or simply get cash to buy a car or
go on vacation. Equity loans are generally tax deductible so you may
save on your taxes also.
The costs of obtaining an Equity
Loan are similar to getting a regular mortgage. There is the
standard fees for property appraisal,
loan application, title and
escrow search, etc.
To get your application costs
and interest rates as low as possible, shop around, because lenders
are always trying to be competitive in this field.
Use a home equity loan
calculator and find out how much you can afford
In the olden days (way back,
like 20 years ago), if you needed information about how much an
equity loan would cost, or how large of an equity loan you could
afford, you had to go to a mortgage "professional" and use his loan
calculator. All that has changed with the advent of the internet.
In reality, you never have to
interact face-to-face with a human anymore to use a home equity loan
calculator, get a mortgage or secure a loan. Not that we wish to
create totally unsocial people, but when time is at a premium, it is
so convenient to simply sit in front of your computer and do all the
legwork from the seat of your pants.
And a home equity loan
calculator is just one type of calculator. Check this out. You can
calculate almost anything. There are Mortgage calculators, Mortgage
payment calculators, Home affordability calculators, Loan
calculators, Mortgage qualifier calculators, New car payment
calculators, Moving calculators, Relocation calculators, Military
relocation calculators, Insurance calculators, Lifestyle
calculators, Community calculators, Rent-vs-buy calculators,
Refinancing your home calculators, and the list goes on.
When you're ready to apply for
your home equity loan, use one of the many calculators available on
the Net to see how much equity you have, and how much your monthly
payments will be.
About The Author
Rene Hill is a successful
freelance writer providing helpful tips and advice for consumers on
second mortgages and
home equity loans. Her many years
of mortgage industry experience have helped others understand the
This article from "articles
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