California Home Equity Loans
Home equity loans and home equity lines of credit are widely available to homeowners throughout California. From Oro Grande (92368) to Hillsborough (94010), California homeowners have options for financing home improvement projects, debt consolidation and college tuition using a home loan.
Before considering whether a home equity loan or HELOC is the best fit, many Californians examine how they plan to use the money. For those who need to tap into their home’s equity for funding a kitchen renovation or plumbing work repair; a home equity loan may be the best choice. Also, a home equity loan is a good choice for debt consolidation. Debt consolidation is when the borrower pays off several debts using one loan (home equity loan). Home equity loans provide the borrower with a lump sum of money, which must be paid back within a pre-determined term.
For borrowers who may need the money to finance an ongoing project or endeavor such as college tuition, a HELOC may work best. A HELOC is a revolving line of credit where the borrower is provided with a maximum draw amount, but only has to may payments on money actually borrowed.
Home equity loans in California may be tax deductible if used for home improvement or repair. Most qualified lenders would advise California residents to consult their accountant before claiming deductions from a home equity loan.