work at home amex
I wanna take out a Home equity line to pay off my 2nd mortgage (9.00% fxd. over 20 years).Is that a good idea?

I owe about 35K on my 2nd mortgage (15 years left) and my Home Equity is about 134.5K on my property.My 1st mortgage is fine,it’s a 30 year fixed,at 5.875% and I don’t wanna change that at all.I understand that a home Equity line works like a credit card.I only wanna borrow as much as I need (in this case approx. 35K) and then pay it off.Here’s my question:Do I need to pay the amount I borrow from my Home Equity line off right away (like an Amex credit card) or can I pay it over time? I’m thinking about just to pay like a $1000 each month (out of the ELOC) on my 2nd mortgage (right now I’m paying approx. $360.00 per month),because I’m afraid that the interest on the ELOC can go up to max.18%,since it’s variable (the offer right now is 5.39%).Any suggestions anybody?


It looks like you are ‘over-thinking ‘ this a bit.

your possibilities are:

a. refinance (the terms now are about 6%) and consolidate all that into your mortgage.

b. ELOC (terms are also good 6 – 9%. but I would NEVER do a variable rate ELOC. that is a mistake, even in good times.

Time and money are linear. paying off one type of loan at the expense of another isn’t logical.

Your Best Bet for the long term is to consolidate your 1st and 2nd into a 30 yr fixed at about 6%. Pay the points to get the rate down.

And never let them tell you its just like a credit card…..cuz if you dont pay your credit cards….they dont take your house.

I highly suggest using an excell spreadsheet to chart this out. You’ll see that in the long term, you will pay a lot less.

wer.

Work From Home With A Winning Team (Work From Home Team)


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