Auto Leasing Guide
Go to now !

Home Equity Loans and Mortgage Refinancing Roswell NM

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.

Santa Fe, NM
Primesource Mortgage Inc
(505) 622-5113
1112 N Main St
Roswell, NM
Advance America Cash Advance
(505) 622-4960
2601 N Main St Ste J
Roswell, NM
Noble Finance Corp.
(505) 622-0900
1015 S Main St
Roswell, NM
First Federal Bank
(505) 622-6201
300 N Pennsylvania Ave
Roswell, NM
Check Into Cash
(505) 622-0965
2415 N Main St
Roswell, NM
Liberty Finance Co
(505) 623-5457
616 S Main St
Roswell, NM
Moore's Pawn Shop
(505) 622-3580
310 S Main St
Roswell, NM
Check 'n Go
(505) 623-2400
3112 N Main St
Roswell, NM
Noble Finance Corp.
(505) 624-2929
116 W Alameda St
Roswell, NM

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