B
BMC
Guest
What is the name of your state?NH What are the differences between home equity and conventional loan? Lender will pay off mortgage and write just home equity loan. Do I lose any rights or tax advantages etc?
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What is the name of your state?NH What are the differences between home equity and conventional loan? Lender will pay off mortgage and write just home equity loan. Do I lose any rights or tax advantages etc?BriantheBanker
Member
Symantics.
A Heloc is a home equity line of credit. These loans are normally ARM's and can be borrowed against, paid off and borrowed from again (similar to a credit card.)
A HELOC could be considered a conventional loan. Conventional loans are those other than government loans (FHA, VA) or hard money.
There are no tax advantages to either loan.
You can normally get better terms on a conventional mortgage than a HELOC.
HELOC's are normally second mortgages (2nd after 1st mortgage (2nd lien position.))
Hope this helps,
BriantheBanker
A Heloc is a home equity line of credit. These loans are normally ARM's and can be borrowed against, paid off and borrowed from again (similar to a credit card.)
A HELOC could be considered a conventional loan. Conventional loans are those other than government loans (FHA, VA) or hard money.
There are no tax advantages to either loan.
You can normally get better terms on a conventional mortgage than a HELOC.
HELOC's are normally second mortgages (2nd after 1st mortgage (2nd lien position.))
Hope this helps,
BriantheBanker