Using Your Equity

Using Your Equity

If you have equity in your home, we can show you how to save money and increase your standard of living. No matter what your needs or credit history, our expert mortgage consultants can design a loan program for you.

What Can Equity Do For You?

You can pay off high interest credit cards and consumer debt to lower your monthly payments.
You can increase your tax savings because mortgage interest is tax deductible.
You can add that new room to your home that you have wanted to do for years, increasing your standard of living and the value of your home.
You can take cash out for a vacation, new furniture, or investments with a low cost of money, also increasing your tax savings.
You can buy out of your Ch. 13 bankruptcy and start over with a clean slate.
You can get those collection companies off your back by paying off your past due accounts.
You can finance your child's education that means so much to you.
You can get cash out for an investment property or second home in that tropical paradise you visit each year.
You can get an equity line of credit for a new business venture.
You can save hundreds of thousands of dollars in interest expense by decreasing your mortgage term, especially with a bi-weekly payment plan.
Put a down payment on your next home.

Example: Debt Consolidation

Current Mortgage Balance: $150,000

Credit Card 1: $10,000 $206/month
Credit Card 2: $7,000 $144/month
Credit Card 3: $5,000 $103/month
Dept. Store: $2,000 $40/month
Auto Loan: $18,000 $333/month

Current Monthly Payment: $1,979
New Monthly Payment: $1,264

Total Monthly Savings: $715

Example: Tax Savings

You have $25,000 in consumer debt. Your current tax savings is $0.
Your tax bracket is 28%. You refinance your home at 7% and use the equity to pay off the $25,000 in consumer debt. Your tax savings is $490!

Example: Term Reduction

You have a 30-year mortgage with 28 years remaining at 8% fixed. You refinance to a 15-year term at 5.5% fixed. You will save a whopping $177,088 in interest over the life of the loan!

Example: Cost of Money

A typical credit card interest rate ranges from 12% to 17%. If you have $10,000 in credit card debt at 15%, you are paying $1,500 for the use of that money per year. That is your cost of money. What if you took that credit card and used the equity in your home to consolidate that debt at 7%? Now, your annual cost of money is $700! This is an annual savings of $800. Over the life of your mortgage, you save $24,000!

Example: Cash Out

You have a $250,000 mortgage with a monthly payment of $2,011.56. You refinance and get $25,000 cash out to add a new room to your home and take a vacation. Your new monthly payment is $1708.72, based on a 6% 30-year fixed mortgage. You not only get the $25,000 you want, you also save $302.84 per month!

Don’t forget—we can show you how to skip a monthly payment on your mortgage and consolidated debt. That’s thousands more in savings!

Request a loan and a professional mortgage consultant will contact you and give you the personal attention you deserve throughout the loan process. Our team will analyze your needs, determine your buying power, and negotiate the best possible program designed specifically FOR YOU.

When you are ready, click on our no-obligation easy to understand online application. Give us a click and we won’t let you down. That’s a promise!