Home - Mortgage Loans | Personal Loans | Bad Debt Loans | Foreclosure Loans
Apply for a Loan | Best Auto Loans | Best Bad Credit Auto Loans | Best Bad Credit Loans | Best Bill Consolidation Loans | Best Cash Advance Loans | Best Credit Cards | Best Credit Repair Tips | Best Debt Consolidation Loans | Best Free Credit Reporting Tips | Best Home Equity Loans | Best Mortgage Loans | Best Pay Day Loans | Best Personal Loans | Best Products on the Internet | Best Unsecured Loans
Great Financial Advice
Apply for a Loan
Latest Financial News
Rate Lock Advisory
Best Products
Join Our Mailing List
Contact Us
Loan Articles Index
Auto Loans
Bad Credit Auto Loans
Bad Credit Loans
Bill Consolidation Loans
Cash Advance Loans
Credit Cards
Credit Repair Tips
Debt Consolidation Loans
Debt Reduction Loans
Foreclosure Loans
Free Credit Reporting Tips
High Risk Loans
Home Equity Loans
Home Loans
Lawsuit Loans
Mortgage Loans
Pay Day Loans
Personal Loans
Products on the Internet
Real Estate Services
UK loans
Unsecured Loans
Loan Article Index
Loan Articles A-G
Loan Articles H-Q
Loan Articles R-Z
Mortgage Calculators
Mortgage Calculator
Mortgage Amortization Calculator
Rent vs. Buy Calculator
How Much Can I Afford Calculator
Auto Payment Calculator
Click here to Sign up for Email and Newsletter


redhotloantips fat loss

Home Equity Loans

Written by: Max Plata

Most of us understand that when someone talks about equity they are referring to something related to finances. That might be the extent of their knowledge though and having a more than passing interest in the business of equity is a good thing.

Equity is defined as the amount of something less any debt. For instance the equity in your home is the value of your home minus any mortgage you have on the home. If your home is worth $200,000 and you have a mortgage owing of $50,000, than your home's equity is $150,000.

Often home equity loans will be advertised. This is when a lending company offers you the opportunity to take out a loan based on the equity you've acquired in your property. Some of the reasons that people consider a home equity loan are for remodeling, vacations or to cover unforeseen debt.

If you decide to inquire about a home equity loan it's best to contact a professional in your area who handles these types of loans. It's always wise when borrowing money to get a few different opinions, and in the case of a home equity loan it's not any different.

Many home equity loans are offered at a smaller than usual interest rate. The main reason for this is that when you take out a home equity loan, your home is used as collateral. The lender sees this as low risk. They want your business and they know that there are many other competing companies who want the same thing.

They will offer you a reduced interest rate to secure your home equity loan. You'll be given a check for the amount of the loan and the equity you have built in your home can now be used for other things.

One reason that many people take out a home equity loan is to repay credit card debt. Credit cards generally charge a significantly higher rate of interest than traditional lenders do. For a family with several thousand dollars in credit card debt this translates into high payments each month. A home equity loan offers them the opportunity to combine that debt and repay it using the proceeds of the loan.

The interest charged on the home equity loan is much less and therefore they end up saving a large sum of money. They've done that using the equity that they've already worked hard to acquire, it's a win-win situation.

Sometimes unexpected things happen in life such as a job loss or an illness and a home equity loan can be a lifesaver in these cases as well. If one partner loses their job, the other may need some financial assistance to keep the family budget balanced. Using the equity in the home helps tremendously with that and the low monthly payments don't break the budget.

The same holds true when one family member is ill. A home equity loan can afford them the time off of work they need to recover. It also can allow other family members the benefit of taking time away from their jobs to care for an ailing loved one. Using your home's equity in this way is really to the benefit of everyone involved.

If you've worked hard to build equity in your home and you find yourself in a financial pinch, consider using that equity to its advantage. Talk to a loan professional about all the benefits of a home equity loan.

About the author:

Equity Resources and Information

Other Related Articles:

Finding a Secured Loan to Meet Your Needs
If you're in the market for a loan, you might want to consider looking into getting a secured loan. A secured loan is one that uses some piece of physical property, known as collateral, to provide security to the lender and guarantee that the loan...read more

Turn your dreams into reality with secured loans
The journey of life is unique. It never leads to a constant path. Somewhere it's up somewhere it's down. Very few of us realise that a boom is always followed by a bust and vice- versa. One day your life is full of excitement and happiness...read more

Innovative "No Win...No Pay...No Risk" Attorney Lawsuit Loan Provides Law Firms Savvy Financial Options
Law firms work long and hard to achieve financial success. Today however a team of professional financial consultants have developed innovative tools to assist law firms achieve even greater financial success via a unique program called...read more

Return to Home


Best Auto Loans, Best Bad Credit Auto Loans, Best Bad Credit Loans, Best Bill Consolidation Loans, Best Cash Advance Loans, Best Credit Cards, Best Credit Repair Tips, Best Debt Consolidation Loans, Best Debt Reduction Loans, Best Foreclosure Loans, Best Free Credit Reporting Tips, Best High Risk Loans, Best Home Equity Loans, Best Home Loans, Best Lawsuit Loans, Best Mortgage Loans, Best Pay Day Loans, Best Personal Loans, Best Products on the Internet, Best Real Estate Services, Best UK loans, Best Unsecured Loans
Subscribe to Mailing List | Private Policy | Unsubscribe | Site Map