A second mortgage is a registered lien on your property. This lien is in second place, behind the first mortgage. Because second mortgages are riskier, the interest rates are usually a minimum of 10-12%. A new second mortgage can be used to purchase a home or to refinance an existing home. If refinancing, the new second mortgage can be used for a variety of things:
§ Home renovations
§ Children's education
§ Pay off existing debt
§ Emergency expenses
§ Business expenses in challenging times
Home equity is the difference between the current appraised value of your home and the amount you have paid on the first mortgage. For example, if you have paid $85,000 on a mortgage of $300,000, you can borrow against the $85,000 already paid. Home equity loans are either second mortgages or refinanced first mortgages with taking cash out. Again, this cash out can be used for a variety of reasons, from consolidating outstanding debt to renovating your home to paying for your children's education.
Depending on your particular financial situation, you may be able to lower monthly payments on your outstanding debts. Instead of paying high interest rates on a personal loan or credit card, you can get a home equity loan at low mortgage rates and pay off these debts for less. Depending on your unique loan scenario, we may be able to offer the following terms for your second mortgage:
§ Insured Second mortgage up to 95%
§ High-ratio first mortgages up to 100%
§ Equity-based first and second mortgages up to 100%
Through our vast network of lenders, we can increase the probability of approval of your home equity loan/second mortgage.
Call us today to see how a home equity loan/second mortgage can work for you.
Visit http://www.donnasmortgages.com/ for more information on our services or to contact me.