A home equity loan, or line of credit, is a second mortgage that lets you turn home equity into cash. Then your equity can work for you as you spend it on home improvements, debt consolidation, college education or other expenses.
At homesandloanscolorado.com we offer fixed-rate home equity loans and variable-rate home equity lines of credit, called HELOCs, whichever works best for you. With these products you can borrow up to 125 percent of the value of your property:
| Home Equity Comparison Table |
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Home Equity Loan |
Home Equity Line of Credit |
| Profile/Overview |
A closed-end home equity loan, or term loan, is provided to you as a one-time lump sum that is paid off over a set period of time. |
A Home Equity Line of Credit is a line of credit that can be used as you need it up to your available credit line. You can use any portion of it at any time and pay it back at any time. |
| Ideal usage examples |
- Large one time purchase:
- Purchasing a new car
- Down payment on a house
- Consolidating debt
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- Ongoing expenses:
- Home improvements
- Medical expenses
- Small business expenses
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Interest
Rate/Payment |
The interest rate on this type of loan is fixed and is accompanied by equal payments each month.
Calculate your payment, rate, and fee!
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The interest rate is variable and is tied to the prime rate.
Calculate your payment, rate, and fee!
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| Interest is tax-deductible? |
Yes, it may be (please consult your tax advisor). |
Yes, it may be (please consult your tax advisor). |
| Probably a Smart Choice if... |
- You like the stability of a predictable payment
- You have a one time need
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- You potentially have multiple needs
- You prefer flexible payment options that have room to adjust
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Call one of our loan consultants today at 591-5626 or click here to apply for your home equity loan or line of credit today.
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