There are benefits and trade-offs to all loans, especially when it comes to paying off major expenses. Both of the home-equity options allow you to borrow against the appraised value of your home, providing you with cash when you need it. Here are some of the differences:
房屋净值贷款
A home equity loan is more like your original home mortgage. You borrow a specific amount, and then you make regular payments during a fixed repayment period. You apply for the amount you need and receive the money upfront in a lump-sum single payout. 感兴趣 rates are fixed over the life of the loan so your payments never change.
房屋净值 Line of Credit
Unlike a conventional loan, a home equity line of credit is something you establish ahead of time and use when and if you need it. In that way, it’s similar to a credit card, except with a HELOC, your home is used as collateral. You can access as much or a little as you need from your HELOC, whenever you need it, up to the credit limit established at closing. A HELOC gives you the flexibility to borrow against your home equity, repay and repeat. 感兴趣 rates are variable and often lower than a home equity loan.
Use the chart below to determine which is better for your needs. 一如既往地, your support team at 元素 is ready to help you find the product that is best for you—just give us a call at 1-317-542-5055.
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房屋净值贷款 |
房屋净值 Line of Credit |
它是什么
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Borrow funds using the equity in your home
Loan for a set amount |
Borrow funds using the equity in your home
Revolving credit line for the 10-year draw—use, repay, repeat |
关键好处
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Fixed monthly payments |
Lowest interest rate |
4月
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10年固定:8.777%
15年固定:8.977% |
Intro 4月 for 6 months: 5.99%
Variable 4月 after 6-month intro period: As low as 8.50% |
A Good Option for a Major or Unexpected Purchase If You
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拥有你的房子
Want money upfront in a lump sum single payout
Want a locked-in fixed interest rate
Want predictable monthly payments that stay the same |
拥有你的房子
Want the flexibility of using funds whenever you need them
Want a lower payment |
可以用来做什么?
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Best for purchases such as:
- Planned home improvement projects ——大学 -第二个家 -债务合并 |
任何东西! 购买如:
- Unexpected emergencies -家居改善 ——大学 -那个大假期 -一辆新车 -第二个家 -债务合并 |
No Prepayment Penalties
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无年费
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可用的数量
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Whatever your available equity is in your home |
Whatever your available equity is in your home |