Do you need to fund a home improvement project?

Do you have equity in your home? Consider a HELOC or HELOAN. Borrowing against your equity could free up cash for many purposes.

A HELOC(Home Equity Line of Credit) is a revolving line of credit that provides ongoing access to funds. It’s like a credit card, except with a HELOC, your home is used as collateral.
-A HELOC has a credit limit and a specified borrowing period. You use the funds(up to your credit limit) when you need them, and you can continue to use them as you repay them.
-A HELOC can be opened to fund a specific need or proactively to make funds available when needed.
You only pay interest on the money you use.
-Most HELOCs charge variable interest rates.
During the borrowing period, you must make at least a minimum monthly payment on the amount you owe.
Once the borrowing period ends, you’ll repay the remaining balance on your HELOC with interest.

A HELOAN(Home Equity Loan) resembles a traditional loan. You borrow a specific amount, provided as a one-time cash payout at closing, and then make regular payments during a fixed repayment period.
With a home equity loan, you apply for the amount you need.
Most charge a fixed interest rate.
Each payment includes interest charges and a portion of the loan principal.

Is a home equity line or loan right for you?
Both loans can give access to funds for a specific need. If you know you only need a one-time lump sum of cash, then a HELOAN may be the way to go. A HELOC gives you the same ability to access funds with the added benefits of flexibility and readiness.
The amount you can borrow will depend on the value of your home and the equity you have available. It’s important to remember that you’re using your home as collateral, and it could be at risk if its value drops or your income is interrupted.
If you qualify and your financial situation is stable, a home equity line or loan could be a helpful, cost-effective tool for maximizing your home’s value.