Why would I want a 125 Home Equity Loan
A 125 Home Equity Loan is perfect for people who want to take out a large loan, but have very little equity. This loan offers up to 125% of your home’s value, minus your first mortgage balance.
What can I use a 125 Home Equity Loan for, and what are my options
A 125 Home Equity Loan is a helpful Second Mortgage. Even if you just bought your home you can get a 125 Home Equity Loan, and use it for Home Improvements, Debt Consolidation, or other things you simply need cash for. 125 Home Equity Loans generally come as fixed rate mortgages. The benefit in this is that you will always know exactly how much your bill will be every month.
Why should I get a 125 Home Equity Loan
You can use a 125 Home Equity to consolidate your debt. Debt consolidation saves money, because your loan will often offer you one low interest rate as opposed to multiple high mortgage rates you may be paying on your credit cards. However, there are risks in 125 Home Equity Loans. Because you are borrowing more than the value of your home, you will not be able to sell your home unless you pay off both your first mortgage, and your 125 Home Equity Loan. Also, since you have no equity to offer your lender in case of default, you interest rates will be higher than a standard home equity loan.
How can I get a 125 Home Equity Loan
We offer 125 Home Equity Loans. Click here to fill out an application.
How can my FICO/Credit Score affect my mortgage rate
The interest rates and maximum loan amounts for a 125 Home Equity are typically based on your credit score, and since you have no equity to offer your lender, good credit is vital in getting a 125 Home Equity Loan. Your lender will want to know he/she can count on you. To find out if you have good credit, get your free online credit report. If you score between 720 and 850, voila, you have good credit, or are A-Paper. You should have little to no trouble getting a 125 Home Equity Loan. If you scored below 660, you will have trouble finding a lender, even though the official cutoff between A-Paper and Sub-Prime or Non-Prime lending is 620.
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