How Does a HELOC Work?
Are you looking for a new mortgage loan? We'll be glad to talk about our mortgage offerings! Call us at 561-395-4264. Ready to begin? Apply Now
When you have a need for some extra cash to make a major purchase, remodel your home, or pay off a high interest credit card, a HELOC (home equity line of credit) might be just what you're looking for. Using your home equity as collateral, a HELOC is revolving credit. This is an open-ended loan that can be paid down or charged up for the term of the loan, similar to a credit card. The interest rate changes (typically every month).
Your lender will specify your credit limit (the maximum you can borrow) with the HELOC. Your credit status, income, debts and other financial circumstances will determine your credit limit. You will be required to do a home appraisal to determine your home's current value. Your property's current value, subtracted from your remaining mortgage loan balance helps to set your particular credit limit.
Alternative Mortgage Group can walk you through the process of getting a Home Equity Line of Credit. Call us: 561-395-4264.