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With a good credit rating
you can eliminate high interest debts with a low rate home equity loan. Borrowing up to 25% of the value of your home
you don’t have to have equity to qualify for a second mortgage. With low rates
you can cut your payments as much as two thirds.

Advantages Of A 125% Home Equity Loan

The prime advantage of a 125% home equity loan is that you can secure lower rates than what you are paying now on your short term loans. In reality
you aren’t increasing your debt. Rather you are trading one rate for another.

With lower rates
you payments immediately shrink. You also have the option with a home equity loan to keep the same payment
but take fewer years to pay off your debt
saving you even more in interest charges.

Financial companies are willing to lend to you based on your credit history along with the expectation of increasing property values. Both you and your lender are banking on your home appreciating.

125% home equity loans are for those who plan to stay in their home for several years
or at least until their property value increases significantly. Consolidating your debts with a home equity loan maximizes your term choices. So loans can be for five to thirty years
affecting payment and interest size.

Look For The Best Loan Rates

Take the time to look for the best loan rate before signing any loan contract. Many financial companies now offer 125% home equity loans
so you should have no problem finding loan quotes online.

Compare closing costs is as important as rates
since this can be a hidden expense. By looking at the APR
which calculates both closing costs and interest
you can find who has the cheapest loan overall. Your terms will also affect your rates. The shorter the loan
the lower the rate.

When you have found the right loan
start the application process immediately to secure quoted rates. With online applications
you will receive final paperwork in days. Then
you can have your debts paid off in just a couple of weeks.