Posted on July 26, 2011.
Does anyone Know the typical point for a home equity line of credit? By point, I mean The up-front fee That Is Proportional To The Credit limit.So Asks If The term for 5 points (5%) and the Line of Credit is $ 100,000, There Is a $ 5,000 fee. Do you think thats the numbers I've just Mentioned are a pretty good deal, Assuming thats the interest rate is good? Thank you.
Monserrate Schonack says...
The minimum equity needed for a HELOC is 10% but it may be difficult to qualify for that and there will be fees on top of that. A typical HELOC requires you to have 25% equity/down-payment and ok credit (Your credit doesn't have to be perfect... If you applied for a credit card today, would you be approved? If yes, then your credit is good enough to qualify).
5% will only get you a typical mortgage.
Posted on August 1, 2011
