What is the difference between a home equity loan and home equity line of credit and a 2nd mortgage?
Both the Home Equity Loan and the Home Equity Line of Credit are 2nd mortgages. With the Home Equity Loan you get the entire loan amount at funding and make regular monthly payments to pay back the loan (fully amortizing loan) The Home Equity line of Credit you can take all or part of the entire loan at funding and only make interest only payments based on what you owe each month. You can also draw additional funds that are available as you need them (via check writing ability) and pay back as much or little of the amount owed each month.
