Colorado Home Equity Loan
You might need a quick influx of cash for many reasons. Emergencies such as car repairs or medical bills always seem to crop up at the worst possible times. Or perhaps there’s a college education or two that needs funding. Maybe you simply want to remodel the kitchen, or build the master suite of your dreams. Luckily, if you own a home in Colorado, a Colorado home equity loan could be a viable option.
After all, your home is an important investment–one that’s probably appreciating, or growing in value, over time. You monthly mortgage payments aren’t disappearing into a black hole. Your money is building equity in your home. This equity can be used ascollateral to borrow against when needed.
A home equity loan is similar to a “second mortgage” in that it is subordinate to your primary mortgage. However, home equity loans typically have lower interest rates. Your equity is determined by taking the market value of your home and subtracting the balance of your current mortgage. The higher your equity, the more money you can borrow.
Access Your Cash with a Colorado Home Equity Loan
There are several strict guidelines when it comes to home equity loans. First of all, you must be living in the home you are borrowing against–it cannot be an investment property you are renting to others. If it is a mobile home, it must be permanently attached to your property. Also, your current credit rating will be taken into account, and other fees–such as appraisal, title insurance, and closing–will apply. You can check out a Colorado home equity loan online or through your bank.