Home Equity loans are very
popular right now because of the low interest rates available.
They can be used to pay off those high interest credit cards,
remodel a kitchen, or anything you need extra cash for.
Home Equity is the net value of your home that
you own outright. In other words, it is the fair market value
of your home minus what you owe on your mortgage. For example,
if your home is worth $200,000, and the balance remaining
on your mortgage is $150,000, then your home equity is $50,000.
You own $50,000 of your home free and clear.
We have some more information about home equity loans further
down, or you can start the loan process by clicking the pre-qualification
link below. If you want to know for sure where you stand,
We have included the official Uniform Residential Loan Application
and Credit Release form which can be printed and faxed to
us.
We are available to help you every step of the
way. Just call at: 412-279-4664, fax:
412-341-6007, or email at info@aaamortgagemoney.com.
Click here to get
Pre-Qualified
Click
here to download the Uniform Residential Loan Application
Click
here to download a credit release form.
If you received an error message when trying
to download either of the above forms, you might need to first
download the acrobat reader.
Home equity financing is when
you borrow against your equity by using your home as loan
collateral. Your property is pledged to the lender as security
in case you don't pay back your loan. Borrowing against your
home equity will reduce your home equity. So, for example,
if you borrow $10,000 against your $50,000 home equity, your
home equity is reduced to $40,000 until you pay back the loan.
You can use our online calculators and calculate estimated
monthly payments.
It is important that you consider your complete
financial situation, including your other debt, to determine
whether home equity financing fits within your income and
budget.
Before beginning the home equity process, you
should determine your exact need for home equity financing.
Homeowners use home equity financing for a variety of different
reasons, some of which may include:
- Paying off debt, such as credit cards
- Making home improvements to increase a home's
resale value.
- Putting additions on the house to make more
room for a growing family or a parent or relative who is
moving in.
- Upgrading kitchens with new cabinets and
appliances.
- Financing an education
Determine the Nature of the Expense
Once you determine why you need home equity
financing, you will need to think about the nature of your
expense as well as your borrowing preferences. This will help
you to best meet your needs by deciding which type of home
equity financing makes the most sense. Think about which of
the following categories your home financing need most likely
falls into:
- Is your financing need a project or expense
where you will most likely need the entire amount up-front
that you can pay back in fixed monthly payments?
-Or--
- Do you have a current expense or foresee
possible future projects or expenses, which may be over
the long-term or entail incremental payments, for which
you would like to have flexible funds available?
Once you have categorized your basic needs,
your next step is to start the loan
process.
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