If youre in need of additional funds and you own a home, you may have the opportunity to borrow against your home through a second mortgage.
A second mortgage is another name for a home equity loan. The amount that can be borrowed on a second mortgage is typically based on the difference between your homes current value and your original mortgage principal. This type of loan utilizes your homes equity to provide you funds for home repairs, school tuition, debt consolidation and other financial needs. For example, if you have a child whos about to go away to college and you need money for the tuition, a second mortgage can you help you afford your childs education. If you want to make home repairs or renovate your home, a second mortgage can supply you the funds you need to get the job done. Its a good way to tap the asset value of your home to meet your investment and budget needs, and helps you avoid incurring high interest unsecured debt like credit cards.
Second Mortgage Benefits
There are some innate benefits to a second mortgage. First of all, since a second mortgage is based on your homes equity, as a home owner, you have the funds readily available. A...