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What is better Home Equity Loan or Mortgage?

I'm looking to pay off some high interest credit cards, buy a car and refurb my kitchen. Not sure if i should go with a Home Equity Loan or a mortgage? At this point I own my home out right. Thoughts on what is the better route? by jcosmi1 from Malvern, Pennsylvania. Mar 7th 2011 Reply


Rich Constantine (rconstantine)
#396 ranked lender in California - 79 contributions

You can get a lower fixed rate, today, than you could in the future. Maybe get a 15 year loan. If you are happy with the Payment and rate I suggest doing what ever it is, that you need to do. Especially if you want a low payment. Home Equity loans are usually not fixed rates, but can have a line of credit to pay what you need to pay. Maybe you could qualify for a Reverse Mortgage, since you do not owe anything. Just a thought.

Mar 7th 2011
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Donald Richards (fha203krehab)
#18 ranked lender in New Jersey - 5 contributions

HOME EQUITY usually has no fees or closing cost, but limit the "purpose to" debt consolidation.1) do not finance an automobile in your house2) refurb your kitchen makes it a construction loan with no cash available for any other purposeany questions email me at fha203krehab@yahoo.comDon

Mar 7th 2011
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Daniel Lotter (dnllotter)
#27 ranked lender in Colorado - 58 contributions

Depends on what you are looking for - If you want to use your credit line as a credit card - pay it off then have available credit to tap into - then a line of credit is great. If you are looking to get cash out to fix your home or to just payoff debt - I would advise refinancing and getting into a fixed rate.

Mar 7th 2011
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Rocky Foroutan (RockyForoutan)
#0 ranked lender in California - 441 contributions

Enter your answer here

Mar 8th 2011
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Dan Paladin (dpaladin)
#1 ranked lender in California - 578 contributions

As you already man know...the equity is a variable rate and is very low at this time. It also "acts" like a credit card on your home...The answer lies your comfort level...or how conservative you are....the comfort of a fixed mortgage...no changes or the Heloc..that can change. You only pay for what you use and can be reused again....responsibility is key just like your use of credit cards...feel free to contact me for a no obligation consultation...877-369-4319

Mar 8th 2011
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You can mail me on info.oceanmortgageusa@gmail.comI Can help you with a Home Equity Loan

Sep 28th 2011
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