Tap into Your Home Equity

	Looking for mortgage advice? We will be glad to help! Call us at 303.727.2466. Ready to get started? Apply Here.

Have you considered tapping into your home equity to send a child off to college, or remodel your home? A fixed- or adjustable-rate loan that is secured by your home equity is called a "home equity loan." You borrow a lump sum of money to be paid back in monthly payments over a set period of time, much like your original mortgage. A home equity loan also can be called a second mortgage.

Getting Your Home Equity Loan

The process for a home equity loan is similar to getting your existing mortgage loan. The closing costs (often 2-3 percent of the loan amount) are generally lower and, although your interest rate is larger on a home equity loan, the interest paid can be tax deductible.

You will have to document your income and have a reasonable credit score to qualify for a second mortgage. A home appraisal is needed to assess the home's market value. To check on your home equity/second mortgage choices, call us at 303.727.2466.

Have questions about your home equity? Call us at 303.727.2466. Paragon Mortgage Services, Inc. answers questions about home equity every day.