|Typically the quickest and easiest way to get hard cash from your home, a home equity loan
uses the equity you've built up in your home to provide money for any reason. Home improvements, debt consolidation,
a dream vacaation...a home equity loan could help you get the cash you need.
A consumer safeguard limiting adjustments to ARM interest rate or mortgage payment's.
|Effective interest rate|
The effective interest rate is the mortgage cost on a yearly basis expressed as a percentage includes charges paid when closing the loan including compounded interest. Higher closing costs or more frequent compounding result in a higher effective interest rate.
|Graduated Payment Mortgage (GPM)|
A type of flexible-payment mortgage where the payments increase for a specified period of time and then level off. This type of mortgage has negative amortization built into it.
Underwriting involves an analysis of the borrower's creditworthiness (debts and assets, employment history, property evaluation, and other factors to determine an appropriate rate, term & loan amount.