On Jan 22, 10:28*am, Cindy Hamilton
wrote:
On Jan 21, 6:54*pm, Phisherman wrote:





On Thu, 21 Jan 2010 09:15:32 -0500, wrote:
On Wed, 20 Jan 2010 22:44:49 -0800 (PST), "Equity & Mortgage"
wrote:

...

A home equity loan, also known as a second mortgage, allows homeowners
to borrow money from their home's available equity.

Home equity loans are commonly used for debt consolidation,
educational expenses, unplanned emergencies, vehicle purchases, home
improvements and other gifts and purchases. ...

* *I would guess most home equity loans are used to buy something
that the owner really needs like a vacation or a new car, when they

Home equity loans are not a good idea, that is, unless you can get a
3% rate or less. *An equity loan should be used for required repairs
only, that is, if you want to be financially responsible.

I suppose. *We got a home equity loan (not an LOC) for a four-year
term
to build my husband's workshop. *I think the interest rate was around
8%.
He's got the utility of the shop, and I think the interest was money
well
spent to increase his happiness.

Cindy Hamilton

8%? I'm sorry. Mine is currently under 5% - lower than my mortgage,
actually. Of course, it got cut off back when everything hit the fan,
despite the fact that the only time it was ever used was to purchase
the house. Y'see, I live in one of those areas where houses are so
silly expensive that it made more sense to use a HELOC to allow me to
purchase the house, rather than waiting until I'd saved enough for a
20% down payment. through the weirdnesses of our tax code, I'm paying
off the HELOC faster than I'd have been adding to my savings account
had I continued to rent, with the added benefit that i'm living in a
house that I own, so I can improve it at my leisure rather than having
to wait.

nate