Is home equity a home loan?

That's a great question. Yes, a HELOC, Home Equity Line of Credit, is a loan secured by your property. It's generally an inexpensive way to borrow money, however, the risk is that the rates are adjustable and will rise as the economy improves. They are also a little harder to get now as many lenders don't offer them. You should check with your bank or credit union.You could also check with them about an unsecured line of credit or loan. They are secured by your good credit and are generally fixed rate.Since you are looking at retirement an option to at least consider is a cash out refinance of your home. With interest rates as low as they are it might make the most sense in the long run.Feel free to reach out if you would like to talk.Larry MorrisNMLS 150073503-421-0996

Before you start working on either a HELOC or a refinance, it would be best to have a conversation with a qualified Mortgage professional. Because you are needing so little in the way of cash-out, a HELOC seems like the logical solution. However, depending on the balance on your current mortgage, and the interest rate, it may make sense to consider refinancing the first mortgage and drawing out the money you need at the same time. The only way to know which option makes the most sense. Give me a call for an honest assessment of your situation and the options to accomplish what you are trying to do. ~ Bert Carpenter, The LoansA2z Team of NEXA Mortgage ~ NMLS 40586 ~ Licensed in Arizona, California, Georgia, Oregon, and Washington. Need help in other states? We've got you covered. NEXA Mortgage is licensed in 46 states ~ www.ApplyYes.com 480-889-9000.