Why Every Home Owner Needs A Home Equity Line Of Credit
It's common knowledge that banks are more than willing to loan
you money when you don't need it. But if you hit a rough spot in
your financial life and need cash desperately. It's like pulling
teeth to get the money you need.
In other words it is much easier to get a home equity line of
credit when you don't really need one. Than to wait and try and
get one when you really need it.
The beautiful thing about an equity credit line. Which makes
this a desirable mortgage loan. Is that there are no payments
due unless you use it. This home equity loan can usually be had
for free for those with good credit.
A Home Equity Line Of Credit Is Cheap Insurance
What would you do if you or your spouse were to get injured or
lose a job? Do you have enough money in the bank to cover your
expenses including your mortgage payments for several months? If
not, this is where your home equity loan comes into play.
You can draw on the equity loan to make all of your debt
payments plus pay for living costs until the crisis is over.
This is a much better alternative than using credit cards to
live off of. Simply because the payments are typically going to
be smaller. Plus the interest is tax deductible. (consult with
your tax advisor)
A Home Equity Credit Line Is Great For Unexpected Expenses
Hospital visits, vet bills, or car problems, are just a small
list of the more common reasons people need quick cash. We all
know any of these problems could happen at anytime. Wouldn't it
be nice to know that you have a financial cushion there in case
they do?
A Home Equity Line Of Credit Prevents Missed Opportunities
What if you ever came upon a great deal on another piece of
property? What if you have the opportunity to invest in
something that can't miss? What if you were to find a great deal
on a car, boat, or truck? Any of these could be missed
opportunities if you don't have instant access to large amounts
of cash. Which is exactly what a home equity loan provides. If
you don't have one. You'll only be able to watch as somebody
else gobbles up the great deal.
A home equity line of credit is a wonderful thing to have. It
can protect you in unforeseen changes in your life. It can help
pick up the cost of sudden expenses. And it will keep you from
saying if I only had the money I could have made a killing.