Equity Home Loans

Lots of questions about home equity loans & lines of credit. (please read description)?

Here's some background: I owe 59,500 on my house that is worth approx. 75,000. I want to put in a new heating system this spring/summer that will cost $8,000, give or take. Thinking about going the route of home equity loan or HELOC. My credit score is 730 (as of a year ago) and my husbands is at least 750. The questions I have are: Will I be able to get a HELOC or loan with the amount of equity I have? Which is better? What is an average interest rate with the credit scores listed above (doesn't have to be exact-I will shop around). Basically, just give me as much info about these loans as possible. Thanks! One more thing, would I be better off to refinance my mortgage? I've only been paying on it for 3 years. Of course I'll meet with people about this when I am ready to. YA is for fun and to find out what others out there think about these things. Please, give me your opinions and help me to learn a little about this BEFORE I meet with mortgage people.

Public Comments

1. You should meet with local mortgage brokers. Everyone will have different offers and ideas.
2. Why pay re-finance fees or loan fees to get a new heating system? If your credit scores are that high, then shop around for a company that will finance the heating system. Many HVAC dealers offer in house financing. I recently had to replace my system (heating and AC) and the company gave me a rebate and financed it for only 5.4% Keep the equity you have earned for something important in the future.