I am a 1st time homeowner with zero mortage. How do I access the equity in my home?

You own a home but have no mortgage? Call a bank and apply for a Home Equity Line of Credit to access your equity.

Give LendingTree a try.

http://www.lendingtree.com

Borrow Money against your equity. You will have to pay it back though. If you are older and you want to use the equity for your retirement there are many lenders who will take possesion of your property but pay you only a fraction of its value. Ie a at aged 65 you may receive 35,000 for each 100,00 of value, the plus side for you is that they will allow you to stay living in the property until you die. This way you maintain somewhere to live, get capital to live off and only really loose something you might well give to your children when you have gone.

The word is mortgage and what you do is get a loan from a bank using your house as collateral.
The house is now giving you equity in your house, so a $300,000.00 house is now worth a bank loan of about $150,000.00 plus the interest per month. So spend wisely or the bank could own your house.

You have to be careful when you use the equity in your house. You did not indicate what the money was to be used for. There are several ways in which to access the money/equity in your property.

You have to chose the one that best suit your needs and ability to pay.

What are your plans for the money? Do you need it all at one time or do you want to spread it out over a period of time to use as you see fit and when you need it?

#1 Reverse Mortgage

If you are pass the age of 62 you may get a reverse mortgage. This is a mortgage were a lender will lend you funds on your property of which you need not pay back unless you refinance your house or you sell it. If you plan to leave the house to children or someone else they will have to pay the lien of once they take possission of the house.

#2 Equity Line of credit (HELOC)

This is sort of like borrowing when you need it. You are given a set amount that you can go up to. Say your equity line is at $50,000. You are allowed to borrow to that limit either all at once or a little at a time. You only pay interest on what you use. Say you decide to use $5,000 of your $50,000 then you will pay interest on the $5000 you have used. You are given checks to draw on the money that is allocated to you.

#3 Regular loan

This is simply a regular loan where you contact a mortgage broker, who will complete a loan application. At the close of the transaction you will be given a check for the amount you wanted to borrow. You will have a set time to pay off the mortgage as well as you will have a regular interest rate even if you bank some of the money and spend some.

Now all the above are based on your credit score and how well you have paid your debts in the past. All require a loan application, proof of income, the ability to repay the loan.

You may contact a mortgage broker in all case so as to decide which is best for you. Mortgage brokers have a wide range loan programs, some are from the most widely respected lenders in the United States. You pay no more for using a mortgage broker than using a bank.

The difference between using a bank and a mortgage broker is if you don't qualify for the banks programs, you have to go some place else. At a mortgage broker they could very well have the bank you went to as well as many other loan programs from other lenders.

I hope this has been of some use to you, good luck.

"FIGHT ON"

I wouldnt take out equity on your first home! Especially with the way the housing market is right now.

You need to refinance.

There's 10,000,000 lenders who will open an equity line of credit for you.

Which area do you live at?If you live at Louisiana. Try the link below for great affordable housing with good finance program.

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