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Are you a Lender?
American HELOC is not a lender. We are a broker and have
relationships with all of the major lenders that offer HELOC's.
What is a Home Equity Line of Credit?
A Home Equitly Line of Credit (HELOC) is a revolving line of Credit
similar to a Credit Card.It typically has a lower interest rate
and is secured by the equity in your home. You pay interest only
on the amount of money drawn on your credit line. You can pay down
the balance at any time. Your subsequent payments will reflect the
lower balance.
How are Home Equity Loans Used?
A HELOC can be used the same way you use other lines of credit such
as a credit card. Here are a few examples of how they are used:
emergency line of credit, home remodeling and personal expenses
such as a new car, school, even as a reverse mortgage.
Why should I choose a Home Equity Loan - Advantages?
A HELOC is less expensive than a traditional home loan. In most
cases, there are less up front costs with getting a HELOC, and you
only pay interest on the amount of money you have drawn.
What does it cost to get a HELOC?
A no cost HELOC is available if you have very good credit and if
you are borrowing against the equity in your primary home. The cost
will be higher if you have credit problems or if you are borrowing
against equity you have in your second home or investment property.
What financial documents are to required for a HELOC?
A complete loan application (taken by phone is OK) is
required to apply for a HELOC. The lender may request additional
information depending on the loan amount, your credit score and
the value of your home. Additional documents include pay stubs,
bank statements, W2's or tax returns, curent mortgage statements,
etc...
How much money can I borrow?
The maximum amount you can get with a HELOC $1,000,000. To get a
line of credit for this amount, you will need excellent credit and
your combined loan-to-value ratio must be no more greater 89.9%.
How quickly can I get this money?
If time is an issue, we will do everything in our power to get you
the line of credit as quickly as possible. In general Lenders will
prioritize a purchase HELOC over an refinance HELOC. One lender
can fund as quickly as 10, typically a HELOC takes between 3-6 weeks.
The turnaround time depends on the lenders and your ability to provide
requested financial documents in a timely manner. Don't wait till
the last minute to apply for your loan.
I have credit problems what are my options?
We have several lenders that can do HELOC loans if you have less-than-perfect
credit. Its best to give us a call and we can first determine the
extent of your problems. In some cases, we can work together to
get the credit problems fixed.
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