If you need assistance, please call 310-770-4121

Using Your Home as Collateral

Wednesday, September 8, 2021   /   by Tara Turner

Using Your Home as Collateral

Using Your Home As Collateral. 

Is using your home for collateral on a loan a good idea? Before you think about refinancing, take out a second mortgage or a home equity loan, consider your options. Talk to an attorney or financial advisor before making any decisions about borrowing money using your home as collateral.

High interest rates and credit card costs can make it very expensive to borrow money and loan costs can vary greatly. So it's in your best interest to research what types of loans you would qualify for. Most creditors will give you a written good faith estimate showing the charges and fees you would pay at closing, the monthly payment, the annual percentage rate, and other loan items. This helps you compare various loan options.

Keep in mind, if you use your home as collateral on a loan and can't make the payments in the future, you could lose your home as well as any equity you might have built up. So make sure you can afford the loan before making a decision. 

If you have any questions relating to buying or selling a home, please give us a call at 909-255-1070. Mitchell Stein License# 0208163

Stein Team Realty - Keller Williams College Park
Mitchell Stein Dre# 02081632
2440 W Arrow Route #5C
Upland, CA 91786
DRE# 01885348

Based on information from California Regional Multiple Listing Service, Inc. as of May 22, 2022. This information is for your personal, non-commercial use and may not be used for any purpose other than to identify prospective properties you may be interested in purchasing. Display of MLS data is usually deemed reliable but is NOT guaranteed accurate by the MLS. Buyers are responsible for verifying the accuracy of all information and should investigate the data themselves or retain appropriate professionals. Information from sources other than the Listing Agent may have been included in the MLS data. Unless otherwise specified in writing, Broker/Agent has not and will not verify any information obtained from other sources. The Broker/Agent providing the information contained herein may or may not have been the Listing and/or Selling Agent.
This site powered by CINC: www.cincpro.com