As you finance your new home, consider a mortgage through Katahdin Federal Credit Union. Various programs are available to allow you to choose the one that suits your needs.
Home Equity Lines of Credit and Home Equity Loans
Have you owned your home for a long time? If so, you may have built up equity. Convert your equity into cash by applying for a Home Equity Line of Credit (HELOC) or a Home Equity Loan. Home equity accounts allow you to borrow against this equity and funds can be used for major purchases, home improvements, college education, etc.
Home Equity Lines of Credit
A Home Equity Line of Credit is a revolving line of credit that can be accessed over a stated length of time.
- Home Equity Lines of Credit may be tax deductible (consult your tax advisor)
- You can finance up to 80% of the appraised value minus existing mortgage obligations
- Home Equity Lines of Credit can be assessed by writing a check against your home equity account
- Monthly payments are 1.5% of the outstanding balances as of the date of your last advance or $50.00 whichever is greater.
- The minimum advance is $500.00
- Low adjustable rates provide money-saving opportunities
Home Equity Loans
Closing Cost may apply to both the HELOC and Home Equity Loan.
- A home equity loan has a fixed rate and term.
- Home Equity Loans may be tax deductible (consult your tax advisor).
- You can finance up to 80% of the appraised value minus existing mortgage obligations.
- Home Equity Loans have fixed rates and fixed monthly payments.
- Terms are available up to ten years.