Answers
I am asking because I am really nervous about applying for home equity for a roof starting very soon-probably next week.
My roof is leaking.
My credit union is currently charging anywhere from 6.5 percent for a 5-year loan up to 7.25 percent for a 20-year loan. You should probably check with whatever bank you're planning to borrow from, since I'm sure rates vary from one part of the country to another.
You might get the best rate if you try the bank that you currently have your mortgage with, especially if you explain why you need the loan. It's in their best interest to make sure your house stays in good shape.
Today we're here to talk about home equity lines of credit and the new CMHC changes announced earlier this week. A home equity credit is a ...
The one that will give you one at the terms that are the most favorable for you at the time you borrow the money.
There are a lot of lenders out there. They all constantly change the rules - mostly to suit them, not the borrower.
So, know what it is you need in a HELOC, and ask for it - if they don't have it - it either doesn't exist, OR that place doesn't do it.
For example: Loan with no early prepayment penalties, no set up fees, no yearly fees, competitive rates, fast closing, and courteous knowledgeable employees, and is convenient.
When I looked for a HELOC - it needed to be one of the cheapest, and also hassle free. A lot of banks will compete - just tell them you are considering other institutions.
I've had one of these - so I know these things (above)exist.
I have a link to the mortgage professor on my website - you may want to take a look. There is also a link to bankrate - which shows a number of institutions - but not all. Try local, then consider ELOAN.
Good Luck!
if you have excellent credit 720+, you can go anywhere to get a loan w/o a broker or middle-man. Best place is National City Home Equity - Just get the # from the website. No appraisal needed and it only costs you $340 for everything w/ lowest rate possible versus going thru a broker, they will either give you a higher rate so they make some $ (called YSP - yield spread premium or rebate) or charge you origination fees.
Good luck!
Information and resources on how to obtain low interest rates or lower your current interest rates on Home, Auto, Credit Card, and Student Loans can be found on the following website:
http://lowertheinterest.blogspot.com
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Answer in relation to "prime" interest rate please, i.e. prime minus 1. Also list the lender.
National City Bank is offering HELOCs at prime, up to prime -1%, depending on the size of the line. Higher lines get better rates. These are the rates today in Pittsburgh according to their website, and may vary in other areas.
What Are Current Mortgage Rates?
Mortgage rates seem to be lower now than they have been in recent years. Anyone who is paying a six per cent and above interest rate on any type of mortgage should consider refinancing. With the current variety of mortgage interest rates available today, you should be able to find the one that is best for you and family.
Lower Rate Savings The daily average of all current mortgage rates is about four point ninety one per cent. Even a homeowner who is paying six or seven per cent might want to look into refinancing offers. That little one or two per cent doesn’t sound like a lot but when you calculate it, it’s a considerable savings over the lifetime of the loan.
...News
Interest Rate Roundup home equityBankrate.com - Dec 25, 2009
Rates on home equity products fell sharply this week. The average home equity line of credit, or HELOC, slipped 6 basis points, to 5.54 percent, and more »
MonitorBankRates.com - Dec 18, 2009
15 year home equity rates decreased to 7.611%, down from the prior week's average equity loan rate of 7.615%. Average home equity line of credit rates were and more »
The Detroit News - Dec 29, 2009
Brian J. O'Connor Grand Experiment: Refinancing founders, but boat floats savingsRefinancing my 5.5 percent mortgage to 4.875 percent, and rolling the balance of a small variable rate home equity line, would cut $113 out of my monthly and more »Reuters - Dec 30, 2009
Special Report: America's route to recoveryFrom its peak in 2005 to the second quarter of 2009, US home equity fell 37 percent, or $4.7 trillion, according to the Federal Reserve. and more »
Philadelphia Inquirer - Dec 20, 2009
"The best thing to do is to refinance the home-equity line of credit as well as the first mortgage. Based on your equity position, you may be able to findBankrate.com - Dec 18, 2009
Rates on home equity products split this week. The average home equity line of credit, or HELOC, edged downward 1 basis point, to 5.6 percent. and more »
MonitorBankRates.com - Dec 11, 2009
Net Lettings Property NewsThe average home equity line of credit rate was down slightly to 4.900 percent this week, down from last week's average HELOC rate of 4.904 percent. It's The Best Time For A Second Mortgage Refinanceall 470 news articles »