If you’re looking to borrow money, you’re undoubtedly aware that there are many loan options to choose from on the market today. When shopping for a loan, you will notice that loans typically fall into two categories, secured and unsecured. Your borrowing need and financial circumstances will ultimately determine which type is the best fit…
Home Equity Resources
Borrowers looking to apply for a Home Equity Loan or Line of Credit are likely to hear the term "second mortgage" at some point as they are shopping and applying for a loan. Although a common term, it's one that is often open for misinterpretation. In our latest blog, we review this terminology and bring clarity to it.
Let’s face it, life can be expensive. Even with the best planning, you will still have times where you will need to borrow money. Here are some of the most common things, outside of home improvements, that might require a loan to finance a portion or all of the expense.
For borrowers looking to apply for a Home Equity Loan or Line of Credit, the value of your home is going to be a significant factor in determining how much you can be approved for. As a result, it’s normal for you to wonder what your home is worth. There are a couple of ways a borrower can find this information, each with varying degrees of accuracy.
With interest rates rising, like they have over the past year, borrowers with variable rate Home Equity Lines of Credit tend to start thinking about how they can convert to a fixed rate to avoid further increases in the interest they have to pay on their outstanding balance.
When deciding to take out a Home Equity Line of Credit, one of the first things someone will research is the rate they will pay. As they research rates offered by various lenders, they often learn that more and more banks offer what is called risk-based pricing, which then prompts the question, “What exactly is risk-based pricing?”
If you’re looking to borrow a Home Equity Loan or Line of Credit, the term debt-to-income ratio is likely to come up. This is a major consideration when a lender is evaluating a credit application. You'll want to be sure to know what it means.