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Home Equity Loans and Mortgage Refinancing Fargo ND

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.

Bell Mortgage
(701) 365-0909
2551 45th St S
Fargo, ND
(701) 277-5007
1711 Gold Dr S Ste 230
Fargo, ND
Tri-State Financial Services Inc
(701) 478-8737
1121 Westrac Dr S Ste 208
Fargo, ND
First International Bank & Trust
(701) 232-1700
3001 25th St S
Fargo, ND
Allied Home Mortgage Capital Corp.
(701) 476-2930
2594 Main Ave
Fargo, ND
Check'n Go of North Dakota
(701) 280-1933
2301 University Dr S
Fargo, ND
Valesco Mortgage
(701) 356-6400
4141 38th St S Ste E2
Fargo, ND
Valley Mortgage Inc
(701) 461-8450
3310 Fiechtner Dr S
Fargo, ND
Union State Bank of Fargo
(701) 277-5886
3820 12th Ave N
Fargo, ND
Money $Tation
(701) 492-0477
498 25th St S
Fargo, ND

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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