Tuesday, October 15, 2013

Are Home Equity Loans Going To Be The New Wave Of Home Lending?

Now that the equity of many home owners has risen since the lowest levels of 2009 will we start to see HELOC's (Home Equity Line Of Credit) coming back?

Refi's were rampant with the equity increase and the low rates. That has slowed down significantly with the rise in mortgage interest rates.

Yet, the thought of a 10 year interest only HELOC is probably pretty tempting to a homeowner that has seen a nice jump in their homes' value since purchased in the last few years.

Needless to say, 'Proceed With Caution!

Many will be happy that they have the new found equity. I can only hope that we don't get into the cheap money, spending spree, take it out of your house 'bank' like we did in the years preceding the housing bubble bursting!

Be careful homeowners, thing long and hard before you use your house bank yet again.

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