Homeowners with a conventional mortgage typically accrue equity in their home over the years. If your home’s current market value is $225,000 and you only owe $100,000 on your home mortgage, you’ve built $125,000 in home equity. A Home Equity Line of Credit (HELOC) is a great way to take advantage of your equity to remodel your home, take a dream vacation, or even cover unexpected bills.
What is a Home Equity Line of Credit (HELOC)?
A line of credit is a lot like a credit card. Once approved for a HELOC, you can access your available funds at your convenience. You only pay interest on the amount you withdraw. Borrow what you need, when you need it.
HELOC vs. Home Equity Loan
Unlike a HELOC, a Home Equity Loan is a lump sum payment. You’ll start accruing interest immediately on the full amount of a Home Equity Loan whether you are using it all or not. HELOCs offer more flexibility than a typical loan, allowing you to withdraw the funds as you need them over a longer time period.
What Do I Need to Apply?
At Peoples Bank, applying for a loan is simple. You’ll need basic identifying information such as the applicant’s name, address, date of birth, and driver’s license number. Simply bring this information to your nearest Peoples Bank location and an experienced lender will help you through the process. If you would like to speak with a Peoples Bank Mortgage Expert, contact us. We are ready to answer your questions and assist with the application process.
Why Choose Peoples Bank?
Peoples Bank is proud to provide our customers with a knowledgeable team, who cares about you. As your hometown bank, we provide a variety of loans to help enrich and support our communities. We’re dedicated to our communities and look forward to helping you achieve your dreams. Stop by one of our nine convenient locations or contact us today! We’re happy to answer all your questions about home equity and show you how to use it to your advantage.