How does home equity work?
Home equity lets you borrow up to 80% of the amount you have paid off on your mortgage to do repairs to the home or even take a trip. You need to know how you want to spend the money when you consider a home equity loan. You can have a home equity line of credit so that you can still use the money when you pay it off. A home equity loan can also be in the form of a lump sum payment and is often referred to as a second mortgage.
