I owe 80,000 left on my home loan and it is valued at over 200,000.

if you need it ,then the quick answer is yes. depending on the amount and your current interest rate, you may want to cash out and refinance your first mortgage. your current rate, terms, value of your home and how much you are looking to take out will determine if it's is a good time or not.

The question you are asking is not really enough for anyone to give somewhat of an educated answer. Please leave us more details behind this transaction and I'm sure we'll be able to guide you in the right direction. i hope this helps...

mortgage professionals usually regard a home equity loan as a second mortgage, which can be fixed or variable--a home equity line of credit (heloc).
borrowers often use the term home equity loan to mean taking cash out with a new first mortgage.

to which are you referring?


rates are low now, so, the answer to your question is probabaly--yes, it is a good time. how much and the purpose for the funds have a bearing on the answer also.

and i have to say, with such an open-ended question, that i agree with john in saying "yes" it's a good time to grab some home equity. rates are definitely low, and that's always a good time to borrow. if you can obtain a fixed rate, of course, so much the better.

1. What is the current rate / term on your 1st position mortgage (only mortgage)?

2. Is the $80,000 owed on your home in one mortgage only or a combination of a 1st and 2nd or a HELOC (home equity line of credit)?

2. How much cash out are you looking to get from your equity (estimated equity of $120,000)?

3. How old is the appraisal with the $200,000 value?

These 3 questions will help fill in a few gaps from your initial question...