Welcome to Loans Guide
Countrywide Home Loans Article
. For a permanent link to this article, or to bookmark it for further reading, click here.
How Home Equity Loans Work
from:Home equity loans are loans secured by the equity value in the home of the borrower. The equity is the difference between the claims against the property and the market value of the house. As collateral, a homeowner uses their homes equity and turns it into cash for things such as home repairs, new furniture, consolidating debts, home additions, education, or even medical bills. Home equity is not build up quickly or overnight and there are costs involved, so it is very important for people to have very good reasons for taking home equity loans. People normally require excellent credit histories to receive home equity loans. The two forms of home equity loans are open end and closed end. Just like a traditional mortgage, they secure home equity loans against the properties value so refer to them as second mortgages. A line of credit or home equity loan is sometimes a shorter duration that the first or traditional mortgage.
When homeowners get closed end home equity loans, the borrowers receive a lump amount on approval but are unable to borrow more. Usually the total amount loaned depends upon variables such as the borrowers credit history, collateral appraisal value, income sources and more. The amount of the home equity loans could be one hundred percent of the homes appraised value less liens the homeowner has on their home. Closed end home equity loans normally have up to a fifteen-year amortization period and fixed rate. Some companies offer borrowers reduced amortization on some home equity loans when a balloon payment becomes due at the end of the term.
Sometimes called a home equity line of credit, open-end home equity loans offer the borrower the option to decide how often to borrow and when to borrow against their properties equity. The lender sets the credit lines initial limit. Usually available up to one hundred percent less any liens on the house value, this is very much like the closed end home equity loans criteria. This line of credit has a variable interest rate and is commonly available up to thirty years.
Some of the home equity loans fees that may apply and are added to the loan includes title fees, stamp duty, originator fees, appraisal fees, early payoff fees, closing fees and arrangement fees. Although sometimes waved, there could also be valuation and surveyor fees added. The valuation and survey costs may be less if the homeowner has the property inspected by his or her own licensed surveyor. It is important for the borrower/home owner to ask questions and read the fine print.
Countrywide Home Loans Specific links
Countrywide Home Loans News
Today's Home Loan Requirements - Salt Lake City Weekly
Today's Home Loan Requirements Salt Lake City Weekly ... on giving out home loans and refinances. Granted, there are fewer lenders these days (thank heavens) because so many of the crooks closed their doors or were forced to close during and after the crash. Remember Countrywide or Washington Mutual? |
BofA to Buy Back $330 Million of Mortgages From Freddie Mac - San Francisco Chronicle
 Retirement Planning | BofA to Buy Back $330 Million of Mortgages From Freddie Mac San Francisco Chronicle May 23 (Bloomberg) -- Bank of America Corp., the second- biggest US lender, will repurchase $330 million of home loans from Freddie Mac, the mortgage company supported by taxpayers, after flaws were found in how they were created. BofA Will Buy Back $330 Million of Mortgages From Freddie BofA Repurchases $330M from Freddie; Delinquencies Down, Sales... |
Stearns Lending Names Gary B. Fabian as Chief Financial Officer - MarketWatch (press release)
Stearns Lending Names Gary B. Fabian as Chief Financial Officer MarketWatch (press release) Mr. Fabian most recently served as Vice President -- Production Finance of MetLife Home Loans, the residential mortgage division of MetLife Bank, NA For over 18 years, Mr. Fabian has held several senior financial executive roles for mortgage banking ... |
Judge dismisses parts of IndyMac fraud case - Los Angeles Times
Judge dismisses parts of IndyMac fraud case Los Angeles Times Before it failed in July 2008, IndyMac, a Countrywide spinoff, had become the nation's largest issuer of so-called alt-A mortgages — risky home loans mostly based on borrowers' simple statements of their income rather than on tax returns. |
Stearns Lending Names Gary B. Fabian as Chief Financial Officer - EON: Enhanced Online News (press release)
Stearns Lending Names Gary B. Fabian as Chief Financial Officer EON: Enhanced Online News (press release) For over 18 years, Mr. Fabian has held several senior financial executive roles for mortgage banking industry leaders such as MetLife Home Loans, Bank of America Home Loans, Countrywide Home Loans, and North American Mortgage Company. |