Questions You Should Ask Yourself When Choosing a Home Equity Loan

There are two main types, a home equity loan and a line of credit. If you are looking to use the money for a one time large purchase, you are probably better off with a home equity loan. However, if you need money in several installments, a line of credit may be more attractive. It should be noted that a home equity loan has a fixed rate that stays the same for the life of the loan. A home equity line of credit has a variable rate which can rise and fall.