Being a homeowner has its perks. Perhaps the biggest one is being able to tap into your home’s value with a home equity loan. But just owning a home doesn’t automatically mean you qualify. You’ll still need enough equity, along with the income and credit to back it up. Let’s walk through what a home equity loan is, the pros and cons to getting one, and what you’ll usually need to qualify. What Is a Home Equity Loan? A home equity loan lets you borrow against the value you’ve built up in your home. Simply put, your home acts as the collateral, and you receive the money as a lump… read more »

If you’ve been paying down your mortgage, you’ve likely built equity in your home. That equity can be put to work when you need it. There are two main ways to access that equity: a home equity line of credit (HELOC) or a home equity loan. While both let you borrow against your home’s value, the two are designed for different needs and goals. So which option is right for you? To find out, let’s compare HELOCs and home equity loans, including how they work and the advantages and disadvantages of each. What Is a HELOC? A HELOC gives you access to funds based on your home’s equity, similar to… read more »

If you’re a homeowner who needs access to cash, a home equity line of credit (HELOC) might be the solution. Today’s borrowers have plenty of options, but depending on your circumstances, a HELOC can be a flexible and practical alternative to traditional loans or credit cards. What, Exactly, Is a HELOC? A home equity line of credit (HELOC) works like a second mortgage, letting you tap into your home’s value for cash. How much you can borrow depends on how much equity you’ve built up in your home. Figuring that out comes down to a simple calculation: 85% of Your Home’s Value – Balance Owed on Your Mortgage = Home… read more »

As you chip away at your mortgage, you’re not just reducing debt. You’re building something valuable: equity. That’s the portion of your home you truly own, free and clear. The more equity you build, the more financial flexibility you gain. If you need funds for a major expense or an unexpected situation, a home equity loan can help. It allows you to tap into the value you’ve already built in your home, turning your hard work into real financial support when you need it most. When A Home Equity Loan Makes Sense A home equity loan can be a great way to resolve unplanned expenses and meet other financial needs;… read more »

Locals know there’s nothing minor league about our state capital, Harrisburg. Known as a “small city with a big city feel,” Harrisburg remains a magnet for singles, young families, and retired couples—keeping the local property market hot even as prices cool elsewhere. That long-term value is great news for local homeowners. Continuously strong real estate prices mean you can swing big on home improvements, knowing every dollar you spend on upgrades will be well worth it. Let’s look at how to build equity in your home by making smart choices about home improvements. Choosing Home Improvements That Build Equity Even if you’re not considering selling anytime soon, home improvements and… read more »

Central Pennsylvania’s property market continues to run red hot, which means it’s a great time to be a homeowner here in Lancaster. Even if you aren’t ready to sell just yet, strong housing prices mean every dollar spent on your home goes a little bit further. Here’s how to build equity in your home by making some smart choices about home improvements. How to Build Home Equity With Home Improvements Home improvements are a great way to get more out of your biggest investment — your house. With property prices still on the rise throughout Lancaster County, money spent on improvements that your family can enjoy today will be worth… read more »

Home prices are rising across the U.S. along with interest rates and the cost of living. But it’s not all bad news. When the market value of your home increases, the amount of home equity you have goes up with it.  You can then use your home equity to fund improvements (or anything else!), which will increase the value of your home even more. Read on to find out everything you need to know about the current housing market and how it impacts your home equity. What Is Home Equity? Home equity is the difference between what your home is currently worth and what you owe on your mortgage. Here’s… read more »

Can I refinance my home equity loan? Many homeowners wonder if refinancing an existing home equity loan or line of credit is a good idea. Let’s look at why you might want to refinance your existing loan and how to go about doing it. Double Dip: Can I Refinance My Home Equity Loan? Your home is your most valuable investment and many property owners leverage that value with a home loan or line of credit. Changes in the property market and your personal financial situation might have you wondering if it is possible—and smart—to refinance your existing loan. Why Refinance? While there’s theoretically no limit to the number of times… read more »

Paying off your mortgage early comes with a variety of benefits like eliminating debt, saving money on interest payments, and increasing your cash flow! Your mortgage payment is likely to be your highest monthly payment amount.  Keep reading below where we cover some tips and strategies for early payoff. Take these into consideration to help you achieve your goal of paying off your mortgage early. Benefits of Paying Off Your Mortgage Early The sooner that you pay off your mortgage, the less interest you’ll have to pay on the loan. This can save you thousands of dollars over the course of your loan regardless of your chosen term!  Using your… read more »

With interest rates trending downward over the last several months, refinancing is all the rage. For many, refinancing an existing mortgage to a home loan with an interest rate that’s lower than their current rate, could hack hundreds of dollars off their monthly payment. This can easily add up to thousands of dollars in saved interest paid over the life of the loan. However, refinancing is not always a good idea. Here are six bad reasons to refinance a home loan. 1. To extend the term of the loan Refinancing a mortgage with a lower interest rate can save you money each month, but be sure to look at the… read more »