Posted on: 28th Jan, 2008 06:38 am
can some body please explain me whats the difference between heloc and a stand alone second mortgage. please suggest the best option between these two.
Heloc is a line of credit, which means you get a check book and its like a checking account you can write checks from, up to the amount of your line of credit. You pay it back, and take money back out as you wish.
A regular mortgage, you receive the loan proceeds in one lump sum. You then make regular monthly payments until it is paid off.
A regular mortgage, you receive the loan proceeds in one lump sum. You then make regular monthly payments until it is paid off.
A heloc is like a credit card with the balance tied to your homes equity... hence... home equity line of credit or HELOC.
A stand alone second is usually just a second mortgage, like your first, but not tied to it. In comparison if you get a second mortgage when purchasing a home it is called a purchase money second.
A stand alone second is usually just a second mortgage, like your first, but not tied to it. In comparison if you get a second mortgage when purchasing a home it is called a purchase money second.
Hi Bthahir,
A heloc is a type of second mortgage - a variable rate loan which is tied to the Prime Rate. Heloc works like a revolving credit card debt. To know more on How Heloc works, please refer to the section on this topic.
Take Care
A heloc is a type of second mortgage - a variable rate loan which is tied to the Prime Rate. Heloc works like a revolving credit card debt. To know more on How Heloc works, please refer to the section on this topic.
Take Care
can anyone please let me know who can help?
Hi guest,
I think you are looking for a 65% LTV stand alone second mortgage. Is that so? If 750 is your FICO score, then that's fair enough to help you qualify for a loan at favorable terms and conditions. I suggest that you consult a few lenders and see what quotes they have for you. You may also request for no-obligation free mortgage quotes from the community lenders here and compare the offers prior to choosing any loan program.
Hope this helps...
God bless you.
Samantha
I think you are looking for a 65% LTV stand alone second mortgage. Is that so? If 750 is your FICO score, then that's fair enough to help you qualify for a loan at favorable terms and conditions. I suggest that you consult a few lenders and see what quotes they have for you. You may also request for no-obligation free mortgage quotes from the community lenders here and compare the offers prior to choosing any loan program.
Hope this helps...
God bless you.
Samantha
