What does home equity loan mean?

Here's a list of possible definitions for the term home equity loan:


Princeton's WordNet

  1. home loan, home equity credit, home equity loan, equity credit line(noun)

    a loan secured by equity value in the borrower's home

Freebase

  1. Home equity loan

    A home equity loan is a type of loan in which the borrower uses the equity in their home as collateral. Home equity loans are often used to finance major expenses such as home repairs, medical bills or college education. A home equity loan creates a lien against the borrower's house, and reduces actual home equity. Home equity loans come in two types: home equity term, which is a fixed term, and home equity line of credit which is variable. Most home equity loans require good to excellent credit history, and reasonable loan-to-value and combined loan-to-value ratios. Home equity loans come in two types: closed end and open end. Both are usually referred to as second mortgages, because they are secured against the value of the property, just like a traditional mortgage. Home equity loans and lines of credit are usually, but not always, for a shorter term than first mortgages. Home equity loan can be used as a person's main mortgage in place of a traditional mortgage, however you can not purchase a home using a home equity loan, you can only use a home equity loan to refinance. In the United States, in most cases it is possible to deduct home equity loan interest on one's personal income taxes.

Matched Categories

Numerology

  1. Chaldean Numerology

    The numerical value of home equity loan in Chaldean Numerology is: 1

  2. Pythagorean Numerology

    The numerical value of home equity loan in Pythagorean Numerology is: 9



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