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Home Equity Loans and Mortgage Refinancing Anchorage AK

Home equity loans and home line of credit loans are often a good way to finance the purchase of a car. Refinancing your mortgage is another option. However, understand the benefits and the risks before making a decision.

AutoLoansInAlaska.Com
Juneau, AK
 
Denali Alaskan Federal Credit Union
(907) 257-7283
Anchorage, AK
 
Alaska First Community Bank & Trust
(907) 929-9236
Anchorage, AK
 
Moneyworks Inc
(907) 337-2274
401 E Northern Lights Blvd
Anchorage, AK
 
Denali Alaskan Federal Credit Union
(907) 257-7283
440 E 36th Ave
Anchorage, AK
 
American Home Mortgage
(907) 277-6333
1400 W Benson Blvd Ste 315
Anchorage, AK
 
Wells Fargo Financial
(907) 272-6594
713 Northway Dr
Anchorage, AK
 
Homestate Mortgage Co Llc
(907) 762-5890
3801 Centerpoint Dr Ste 100
Anchorage, AK
 
Primary Residential Mortgage
(907) 929-5626
510 W Tudor Rd
Anchorage, AK
 
Alaska USA Mortgage Company
(907) 563-3033
500 W 36th Ave Ste 110
Anchorage, AK
 

Home Equity Loans and Mortgage Refinancing

Looking for a source of cash to pay for a new car? Use the equity you already have in your home. Home equity loans and mortgage refinancing are often good solutions for people who need money to purchase a car. However, to use this type of loan for a car purchase, you should have good financial discipline and a stable lifestyle — and understand how such loans work.

Two different kinds of home equity loans - which is better?
A home equity loan is a conventional loan in which you borrow against your net financial interest, or equity, in your home. Such loans are for a fixed amount, have a fixed interest rate and a fixed term. The loan is paid down with monthly payments that cover both principal reduction and interest expense. The primary difference between this type of loan and a traditional car loan is that your home is the collateral, not your car. Should you default, your home could be at risk.

In comparison, a home equity line of credit (HELOC) is a variable-rate loan that is set up for a specified maximum draw amount. You can use (draw) any or all of that amount over a specified period of time, usually 5 to 10 years. There is also a specified repayment period, usually 10 to 20 years. Typically, a borrower only pays interest during the draw period, but must pay both principal and interest afterwards. Up front costs are typically fairly low. Interest rates are tied to the prime rate which can vary day to day. In this sense, HELOCs are like a...

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