Which is better for your credit report - A home equity line of credit or a second mortgage?
488383
Honestly, neither are good for your credit but the lesser of 2 evils is the fixed home equity loan (second mortgage). Lines are like big credit cards secured by your home and is revolving. Any revolving debt is bad for your credit if it's not that strong anyways.\n\nYou would be better of refinancing your first mortgage and taking the equity out as cash.
360376
It really depends on the overall picture. The blended rate on 2 loans could be close to the one loan option, but with the 1 loan option you will probably pay Mortgage Insurance.\n\nThe rates on the 20% 2nd loans have really gone through the roof, so the 1 loan options are starting to look better again.\n\nAs far as closing costs, it really depends on the type of loan and the lender you are using.  The Bank that I work at charges very little on fees and we have no junk fees that I see other lenders use.  But being that their are 2 loans there are more costs than just one loan.\n\nYou should have your lender go over the difference in total monthly payments and difference in closing costs for the 2 options and see which one looks better.\n\nWith 2 loans, chances are you will want to refi or combine the 2 together within a few years if you have built up equity.  With one loan, if you are paying Mortgage Insurance, after 2 years if your value has increased, you may be able to eliminate the Mortgage Insurance and your payment goes down.  Not the case with 2 loans.\n\nS, look at the overall payments and costs and ask yourself if you plan on being in the same house or same mortgages for more than 2 years.
406947
Oh!  Another dragonfly!\n\nNo I haven't used them, and yes, I'd be worried about all of that data because you don't want a bunch of bozos pulling your credit report and driving your credit score down.  I used CTX Mortgage and they were good.  They are their own lender so their margins are bigger than many banks because they are lending out their own money.  Or try www.naca.com if it's your first home.
165320
I need more information from you to get a more accurate picture of your situation.  What is the worst thing on your credit report?  How is your other payment history (credit card, car, etc?).  Your house payment is always on time (a good thing!), but more information is needed.  If you'd like free no obligation consultation you can fill out an application on my website, email me, or give me a call and I'll answer any questions you have.
386062
home equity line of credit sucks. It's like a credit card with your home. Low rate, but it's revolving. Watch out for that!! Not good stuff.
335121
WOW you packed a lot into this question!\n\n1. Real Estate investment in a primary residence is typically a good idea.\n2. You say you have okay credit.  Does that mean you owe a lot or you have some derogatory credit on your profile?  This would affect your ability to qualify for a loan from both a debt ratio situation or challenged credit issue.\n3. A rent to own, lease option, or contract of sale it typically a good way to go if your credit is questionable as you may not be able to obtain traditional financing.  You would need to find a seller willing to cooperate with this type of financing.\n4. If you buy outright a Realtor is always recommended.  There is no cost to the buyer.  The seller bears the burden of all costs incurred.\n5. If you use a Realtor they can assist you in finding a source for financing.  Generally that would be a loan officer the Realtor has an existing relationship with that can cater to your individual needs.\n6. Lastly you say you are starting a new job.  Typically a lender is looking for 2 years in the same line of work with your new earnings similar to your past earnings.  If your new job is a significant increase in pay, the lender will evaluate your ability to secure employment for the same earnings should you lose your new position\n\nI know how overwhelming all this can seem to someone who is unaware of how the process works.  Don't be discouraged.  You may contact me if you need further help and if I know the answers I'd be happy to share my knowledge.  \n\nGood Luck!
939079
Yes! A mortgage history (that is on time every month) will quickly boost your credit score! (on the downside, any payments over 30 days late will just as quickly kill it...)
133149
Since you have another on the deed, you probably will need them involved. You can probably get a home equity line of credit with your exixting mortgagor for 80% of the balance your property is worth, with the other person's approval. Try getting a credit card that will give you checks, if you don't want the other party to have knowledge. If your credit is good, it won't be an issue. Check your existing credit, close out unused lines of credit, you are entilted to one free credit report annually. try the link below.You may need more than one credit card to get the amount of cash you want. There may be fees involved too. Do you have access to a credit union or bank? Personal loans are also higher in interest rate. If you are retired you may want to look at your other assetts:  401 k, IRA, pension, etc.
1016841
Almost simultaneously if you have equity and a good FICO.  On a new build in a hot real estate market you should have equity by the time the house is completed.\n\nYou maybe able to close the equity line when you close on the home.  \n\nSome buyers use an equity line for part of the downpayment and need it to close and that's doable.\n\nGood luck
132693
Yes, you can.  Some lenders will actually lend up to 125% of the value of your home in first or second mortgages.  Keep in mind that the interest rates on these types of loans will likely be much higher than standard equity loans because of the increased risk to the lenders.  Generally, these lenders are not banks but finance companies.  Personally, I would wait until your house appreciates in value and/or you pay down your first mortgage OR get a non-equitized line of credit through your bank or credit card company.  MBNA and Capital One have accounts like these at reasonable rates.
473602
My husband and I run a mortgage branch in Temecula, CA.  The answer to your question is that you would need to get pre-qualified again to buy the new home.  If you are earning enough money you could, in order to prequalify, retain your existing home whilst buying the new one.  If not, you would need to make the purchase of the new home dependant upon selling the existing one.  In terms of hurting your credit, well a new mortgage account usually knocks it slightly, but generally over a few months having 2 mortgages is good for your credit rather than detrimental. And having an existing mortgage account which you have been paying every month is a good thing for the new lender, not a bad thing. It is always good to have open credit which you are using and paying as agreed.\nIf you need help in either CA, WA, OR, FL or AZ please call us and we will help.  951 302 6586 or toll free 866 606 8707.
718808
A Home Equity line of Credit(HELOC) is a type of mortgage program and a Second Mortgage describes the loan position.\n\nOften HELOCs are used as 2nd Mortgages, but there are other 2nd mortgage programs to choose from.\n\nA HELOC is based off of the Prime Rate index, which is derived from the Fed Overnight Funds Rate (Alan Greenspan stuff - ex head of Fed).\n\n2nd Mortgages mean just that... they are in position behind another mortgage.  In the event of foreclosure, liens are paid off according to their position.  1st mortgages would have to be fully paid before any proceeds would go to paying off a 2nd mortgage.
251318
There are a lot of different kinds of loans:\n- mortgage loan for your house... a 2nd mortgage for your house... a home equity loan which uses your home's equity to determine the amt.\n- an automobile loan for your car\n- a personal loan\n- a student loan\n- a parent school loan\n\nThere are also lines of credit which are sorta along the same lines... I don't recommend a line of credit over a loan though.\n- home equity line of credit\n- personal line of credit\n- (credit cards)\n\nIf you need one ( a loan), go speak to a financial advisor/planner, or go speak to a loan representative at a local bank or credit union.\n\nWashington Mutual offers free financial advice at the branches if you have one in your state.
1035988
A line of credit is usually an unsecured expandable account from which you can either take a lump sum or draws against the note amount. A home equity line of credit is a line of credit attached to your property's title. Truth be told you would probably be better off to just refinance your house... right now with the fed raising the prime rate in the fashion that he is, you can actually get a lower rate by refinancing your whole home as opposed to paying prime plus 1 or even plus 2 in some cases. If you would like to look into this feel free to drop me a line I can help you get it all straighted out!
616285
With your score you may be able to do a cash out refinance, but not a home equity line of credit or second mortgage.  Why not work on raising your credit score before you do anything?  A year of paying all your mortgage payments on time will help you considerably.  If you're in Ohio, I'd be happy to go over your specific scenario with you.
1012410
To be honest, another loan is probnably the last thing you need if you already have a bad credit history. It will just make the situation worse.\n\nYou should concentrate on reducing your expenditure and increasing your income.
600493
Okay, here is the deal--\n\nIf they had a mortgage and they have decent credit and equity in the house, they could get a 2nd mortgage/equity line of credit.  That line of credit is considered a 2nd mortgage and it is recorded on the deed just like the first mortgage was.  They can indeed lose their house, either lender can decide to forclose on the house for missed payments.  Usually what happens is the first mortgage holder buys out the 2nd and then forcloses on the house.  \n\nIf they got a 2nd mortgage, they probably got a checkbook, so they could have written a check and gotten cash to give to Scott, but it was still a 2nd mortgage.  Payments will be due just like the first mortgage, every month.\n\nIf they aren't getting enough to pay both, they should immediately contact the first lender and see if they can refinance with both their mortgage and the equity line of credit.  This might be difficult because they have used all their equity in their house, so they are reborrowing for full value of the house and the bank might not go for it.  \n\nIt would be terrible for these people to lose their home because they tried to help somebody out.  I hope they can all find a solution.\n\nThey might also contact www.naca.com  \n\nIt's a non-profit housing advocacy group and they do some refinancing.  They are very much about people keeping their homes, so they might be able to help you where a bank might be less helpful.  \n\nGood luck!