Foreclosure
12 September 2007
Foreclosure doesn't just happen to people who don't make their mortgage payments. Your homeowner's association (HOA) can take your house or condo if you're not careful. In one case, a disabled California man lost his home in a foreclosure sale because he was $123 behind on his homeowner's dues. The house was worth $280,000. Unfair? Abusive? You bet!
Read More »
12 September 2007
Foreclosure doesn't just happen to people who don't make their mortgage payments. Your homeowner's association (HOA) can take your house or condo if you're not careful. In one case, a disabled California man lost his home in a foreclosure sale because he was $123 behind on his homeowner's dues. The house was worth $280,000. Unfair? Abusive? You bet!Read More »
Is a Home Equity Line of Credit Right for You?
By Sarah ClarkNFNS Columnist
Consistently low mortgage rates have helped fuel the recent housing boom. They've also made a home equity line of credit more appealing to many borrowers. But how do you know if one is right for you?It's a tough decision for anyone to make. Here are a few questions to ask yourself as you consider the pros and cons of a home equity loan.
How Serious Is Your Home Repair?
For critical home repairs, such as a leaky roof, plumbing problem, or crumbling foundation, a home equity line of credit can be a good option. Home repairs such as these are serious, and making them can help preserve the value of your home, not to mention your ability to live safely and comfortably.Are the Renovations Cosmetic?
Not all home equity loans are for home repairs. Some are used for cosmetic changes to a home, like a fresh coat of paint, new cabinetry, or a modern set of kitchen appliances. These types of repairs may not be considered necessary, but may help improve the value of your home, or enhance your enjoyment of it.Is It for Personal Spending?
Some people take out home equity loans to cover the cost of non-housing related purchases, such as a wedding, vacation, or car. Why would anyone do this? Well, if mortgage rates are low, it may prove a smarter way to borrow money than, for example, taking out a loan on a high-interest rate credit card.Is the Cost of a Home Equity Loan Worth It?
When considering all the uses for a home equity line of credit, consider first whether or not you can comfortably afford the loan repayment schedule. Mortgage rates may continue to be low, and in your favor. Second, decide if taking on the extra debt is really worth it. For instance, you may feel more justified taking out a loan for a serious home repair than for a weekend blowout in Vegas.About the Author
Sarah Clark is a freelance writer specializing in a variety of consumer topics.
Other Home Equity Loans Articles
© NFNS 2008 Privacy Policy California Privacy