Put Your Home’s Equity to Work
Your home may help you finance what comes next. Whether you’re planning improvements, preparing for a major expense, or comparing debt-consolidation options, HarborPoint Mortgage can help you explore home equity loans and home equity lines of credit with clear guidance and personal service.
Two Ways to Access Your Equity
Home Equity Loans
HELOANs
A home equity loan provides funds in a single lump sum, making it an option for expenses with a defined budget. You repay the loan over an agreed term. Fixed-rate options can offer predictable principal-and-interest payments.
Home Equity Lines of Credit
HELOCs
A HELOC provides access to a revolving credit line secured by your home. During the draw period, you can borrow as needed up to your available limit, subject to the agreement. HELOCs typically have variable interest rates, so payments can change.
Which Option Fits Your Plans?
A home equity loan may suit a project with a known cost. A HELOC may suit expenses that occur over time. The right choice depends on how much you need, when you need it, and how the payments fit your budget.
Mark can help you compare repayment terms, rates, fees, and the effect on your overall monthly obligations.
What Determines Eligibility?
Available equity is one part of the picture. Lenders also review factors such as your credit history, income, existing debts, and property value. Your borrowing limit and terms depend on the program and your qualifications.
FAQs
Frequently asked questions
Can I Keep My Current Mortgage?
Yes. A separate home equity loan or HELOC generally allows you to keep your existing first mortgage, including its rate and terms. You’ll remain responsible for your current mortgage payments along with the payments required for the new loan.
What Is the Difference Between a Home Equity Loan and a HELOC?
A home equity loan provides a single lump sum that you repay over an agreed term. A HELOC lets you borrow as needed during a draw period, up to your available credit limit. The better fit depends on when you need the funds and how you prefer to repay them.
How Much Can I Borrow?
Your borrowing amount depends on your home’s value, outstanding mortgage balance, and the lender’s limits. Lenders also review your credit history, income, and existing debts. Mark can help you explore your options based on your financial situation.
What Can I Use the Funds For?
Homeowners commonly use home equity financing for renovations, major expenses, or debt consolidation. Consider the repayment costs carefully: consolidating debt does not eliminate it, and borrowing against your home puts the property at risk if you cannot repay.
Will My Interest Rate and Payments Stay the Same?
With a fixed-rate home equity loan, principal-and-interest payments generally remain consistent over the repayment term. HELOCs typically have variable rates, so payments can change with the rate and your balance. Payments may also increase when the draw period ends and repayment begins.
Our Programs
Pointing You to the Perfect Loan
We navigate the complex sea of home financing so you don’t have to. Let’s chart a course to your best possible deal.
Reverse Mortgage
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Construction-to-Permanent Loans
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Non-QM programs
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Free Tools
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