Home Equity Loans
Cash poor? Thinking about borrowing against your home?
Home equity loans are a type of second mortgage. They allow you to borrow against the equity in your house. Now the home is your collateral and the loan is repaid in fixed monthly payments just like a mortgage. Interest rates may be lower than a personal loan.
Now, I don’t like people putting themselves at risk of losing their home. Consider all options before borrowing, like refinancing or selling. Just never do an adjustable interest rate. Pray for wisdom and seek the counsel of others. Perhaps there are sources of income you haven’t considered.
Solomon said: “Plans fail for lack of counsel, but with many advisers, they succeed.” (Proverbs 8:14)
To help you set up a plan for your financial future, download our Money Map at crown.org.