Home Equity Loans
What is a home equity loan?
In a nutshell, a home equity loan lets you take out some of the equity you already have in your house. The loan can be in two forms:
- it can either be an open line of credit accompanied by an interest rate that is adjustable;
- or it can also be a closed end loan that comes with a fixed interest rate.
The proceeds from a home equity loan can be utilized to consolidate debts, improve your house, finance a college education, or even as an investment.
Contrary to other loans like consumer loans and auto loans, even credit cards, a home equity loan offers an interest rate that is tax deductible in several cases. Of course consult your accountant for consideration of your specific situation. Considering all of this, it is not surprising that a home equity loan can help you to stabilize your financial situation.
Where do I get a home equity loan?
Because of the economic meltdown of the mortgage market, several lenders have ceased from offering home equity loans. The remaining few that still have them have very rigid requirements. Most home equity programs require an applicant who must have outstanding credit history.
However, the VA doesn’t actually have any home equity loan programs. Instead, what they do have is a cash-out refinance mortgage loan. By using the cash-out refinance loan, you will be able refinance your present mortgage up to 100 percent of the home’s appraised value.
With the VA cash-out refinance mortgage loan, you can get cash back with which you can then utilize to consolidate bills – sort of like what you would normally do if you had a home equity loan.
VA cash-out refinance
Simply put, the VA cash-out refinance is a home loan program designed for veterans who would like to cash-out on the equity they have accumulated in their home.
The proceeds can then be used for practically any purpose deemed necessary by a veteran. This is a little different from a VA streamline refinance in the sense that you must first have an appraisal before you can be deemed qualified for the loan.
Getting Started Right Now
It’s easier than ever to get started with a veteran cashout loan. Just fill out our safe and secure 1-minute quote request form and begin comparing rates today!
Home Equity Loans | Veteran Mortgage Loans | What Is A VA Loan? | VA refinance
