Auto Leasing Guide
Go to now !

Home Equity Loans and Mortgage Refinancing Grand Island NE

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.
(402) 318-7244
Lincoln, NE
Wells Fargo Financial
(308) 382-4310
2319 N Webb Rd
Grand Island, NE
Equitable Mortgage
(308) 382-1087
2838 Old Fair Rd
Grand Island, NE
Homestead Mortgage Inc
(308) 398-1813
3008 W Stolley Park Rd Ste 4
Grand Island, NE
Grand Island Investment Co
(308) 384-0957
202 W 3rd St
Grand Island, NE
Mid-City Auto Loans
(402) 341-5466
515 S 15th St
Omaha, NE
Tierone Bank
(308) 384-4433
1811 W 2nd St
Grand Island, NE
Ace Cash Advance
(308) 382-9054
3537 W 13th St Ste 104
Grand Island, NE
Ace Americas Cash Express
(308) 382-9054
3537 W 13th St Ste 104
Grand Island, NE
Home Federal Bank
(308) 382-4000
3419 State St
Grand Island, NE

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...

Click here to read the rest of this article from Lease Guide