Investor Glossary-home equity line of creditInvestor Glossary-home equity line of creditInvestor Glossary-home equity line of creditInvestor Glossary-home equity line of creditInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Home Equity Line Of Credit

The HTML to link to this page
 

A home equity line of credit is a credit line against an owner's home equity. Based on credit-worthiness, lenders may approve up to 80% of the appraised value of the home minus any mortgage owed, as a home equity line of credit at variable interest rates. A large initial draw is allowed from the home equity line of credit. The lender issues checks or a credit card for home equity line of credit withdrawals. The draw period for a home equity line of credit is usually 5, 10, or 15 years. A home equity line of credit may incur application, title search, appraisal, attorney, points, and participation fees. Being that the borrower's house is the collateral in a home equity line of credit, it may be at risk if the borrower miss repayments. Truth in Lending Act allows a borrower to cancel a home equity line of credit within the first three days for a full refund of fees paid.



Rate this home equity line of credit definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: 1031 exchange, 1035 exchange, EBITDA, retained earnings, covered put, option premium, limit order, margin rate, phantom income, deferred tax, APR, labor relations, current ratio, LIBOR, FTSE, command economy, stock split, 144a, ex-dividend, in escrow, reverse mortgage, quality assurance, Key Rate Duration, implied volatility, per diem, risk management, inflation, dividends payable, stock market close, minority interest, diluted share, annual return, ex-dividend date, VIX, average price per share, open position, 401a, wholly-owned subsidiary, balance sheet, deferred revenue, irrevocable trust, FICO score, cancelled check, class C shares, Zero Cost Collar, real GDP, required rate of return, liquidity ratio, debt service coverage


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Home | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use