heloc and a stand alone second mortgage

bthahir · Joined: 05 Sep 2007 Posts: 36 13.22 Dollars($)

Can some body please explain me whats the difference between heloc and a stand alone second mortgage. Please suggest the best option between these two.

jheard · Posted: Mon Jan 28, 2008 8:46 am Post subject:

Heloc is a line of credit, which means you get a check book and its like a checking account you can write checks from, up to the amount of your line of credit. You pay it back, and take money back out as you wish.

A regular mortgage, you receive the loan proceeds in one lump sum. You then make regular monthly payments until it is paid off.

livinginnky · Posted: Mon Jan 28, 2008 11:04 am Post subject:

A heloc is like a credit card with the balance tied to your homes equity... hence... home equity line of credit or HELOC.

A stand alone second is usually just a second mortgage, like your first, but not tied to it. In comparison if you get a second mortgage when purchasing a home it is called a purchase money second.

sara · Posted: Tue Jan 29, 2008 12:17 am Post subject: RE: heloc vs second mortgage

Hi Bthahir,

A heloc is a type of second mortgage - a variable rate loan which is tied to the Prime Rate. Heloc works like a revolving credit card debt. To know more on How Heloc works, please refer to the section on this topic.

Take Care

Guest 0.10 Dollars($)

can anyone please let me know who can help?

Samantha · Posted: Wed Aug 20, 2008 10:18 am Post subject: RE: stand alone second mortgage

Hi guest,

I think you are looking for a 65% LTV stand alone second mortgage. Is that so? If 750 is your FICO score, then that's fair enough to help you qualify for a loan at favorable terms and conditions. I suggest that you consult a few lenders and see what quotes they have for you. You may also request for no-obligation free mortgage quotes from the community lenders here and compare the offers prior to choosing any loan program.

Hope this helps...

God bless you.

Samantha

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