Home Equity Line of Credit: the Facts

	Shopping for a Home Equity Line? We'll be glad to talk about your mortgage needs! Call us at 630-567-1951. Ready to begin? Apply Now.

If you want to borrow cash to consolidate funds or purchase a big-ticket item, a home equity line of credit (HELOC) might be useful. A HELOC is a form of revolving credit secured by your home equity. This is an open-ended loan that can be paid down or charged up for the term of the loan, much like a credit card. The loan interest rate generally changes every month

The lender will set your credit limit (the maximum amount you can borrow) in the HELOC. Your credit score, rate of pay, debt and other financial circumstances will determine your credit limit. An appraisal will be required on your house to assess the home's market value. Your credit limit will be based considering all of the above, in addition to a percentage of your home's appraised value, which is subtracted from the balance owed on your current mortgage loan.

USA Mortgage Financial Group can walk you through the process of getting a Home Equity Line of Credit. Call us at 630-567-1951.