" width="171" height="113">
texas mortgage rates

Your Texas Mortgage Rates

Lending Source

10721 Jackson Lane, Frisco TX 75035

Phone: (214) 387-0683       Fax: (214) 387-0185       Email Us

What's Your Home Worth?  

 

 

Home Equity Loans

 

 

A home equity loan or line of credit allows you to borrow money, using your home's equity as collateral.

Wait. Don't click to another page. If the above paragraph seems like gibberish, you have surfed to the right place. We will explain what home equity is, what collateral is, how these loans and lines of credit work, why people use them, and what pitfalls to avoid.

First, some definitions:

Collateral - is property that you pledge as a guarantee that you will repay a debt. If you don't repay the debt, the lender can take your collateral and sell it to get its money back. With a home equity loan or line of credit, you pledge your home as collateral. You can lose the home and be forced to move out if you don't repay the debt.

Equity - is the difference between how much the home is worth and how much you owe on the mortgage (or mortgages, if you have more than one on the property).

Example: Let's say you buy a house for $200,000. You make a down payment of $20,000 and borrow $180,000. The day you buy the house, your equity is the same as the down payment -- $20,000: $200,000 (home's purchase price)
- $180,000 (amount owed) = $20,000 (equity).

Fast-forward five years. You have been making your monthly payments faithfully, and have paid down $13,000 of the mortgage debt, so you owe $167,000. During the same time, the value of the house has increased. Now it is worth $300,000. Your equity is $133,000: $300,000 (home's current appraised value) - $167,000 (amount owed) = $133,000 (equity)

A home equity loan (or line of credit) is a second mortgage that lets you turn equity into cash, allowing you to spend it on home improvements, debt consolidation, college education or other expenses.

 

 

 

 

 

 

 

 

  Correcting Your Credit  
  Miscellaneous  
What Is Credit Scoring
Do You Know Your Credit Score
Don't Ignore Debt
Is The Internet A Secure Place To Do Business And Shop
Overcome A Bad Credit History By Making Smart Choices
 
The Truth-In-Lending Act (TILA)
Shopping For A Mortgage Online
Mortgage Broker Or Direct Lender
Questions To Ask When Loan Shopping
Escrow Payments
  Mortgage Programs  
  Home Equity Loans  
100 Percent Mortgage Financing
First Time Homebuyer
Home Mortgage Loan
Mortgage Lending Company
Texas Online Mortgage Lender
 
Your Home - Hidden Wealth Opportunity
Texas Home Equity Lender
Home Equity Basics
What Lenders Look For
Texas Home Loans
  Real Estate  
  Refinancing  
Finding The Right Property
Real Estate Loan Lender
Property Appraisal
What Lenders Do
Closing The Deal
 
Refinancing With Bad Credit
Fixed Term Vs. Line Of Credit
Discount Points and Origination Fees
Special Circumstances
Taking Care Of Your Credit

Mortgage Glossary3

 

 

 

 

 

Apply Online

 

 

 

 

Mortgage Rates Apply Online Credit Basics

Home Equity Basics

Mortgage Basics

Contact Us

About Us

Mortgage News  Helpful Articles

Mortgage Calcultator

 

 

 

 

 

 

 

 

 

 

 

 

 

 

         

OPEN MORTGAGE
10721 Jackson Lane, Frisco TX 75035

PHONE:
214-387-0683 EMAIL: info@brown-lending.com


 

"Your reliable Dallas Mortgage Broker and specialist on Texas Mortgage Rates and Home Mortgage Loans."