Home Equity
I heard on WGN (Saturday morning program) a recommendation to secure a home equity to have “on Hand” in the case of an emergency.
My husband and I have no debit other than our mortage with approximately 300k in equity.
Would you recommend applying for a home equity line of credit?
Thank you for your consideration of my question,
Terry Says
It can’t hurt to have a home equity line of credit on hand — BUT most banks charge a fee — every year — for this service, and why pay that if you’re not using it??
Some say it protects an un-mortgaged home against fraudulent title transfer. That’s one good reason.
But if you’re older, you might want to start researching a Reverse Mortgage. You could do that later and not have to worry about repayment, which is the other drawback to taking down a home equity loan or using a HELOC.
