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Increase Your Homes Value With Custom Cement Countertops
By Steve Galashaw
Whether you live in Beverly Hills California or in the rural Saskatchewan if you want to increase the value of your home and your enjoyment of your kitchen start by installing custom cement Read more...
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Home Equity Loan: What You Should Know
By Bill Darken
Many people are talking about a home equity loan, at work, weekends and even at the dinner table. Why is it the flavor of the month and what should you know about a home equity loan to ensure you Read more...
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End Your Daily Commute With A Network Marketing Home Business
By Thomas Childs
Have you been dreaming of not having to get up early in the morning only to fight your way into the subway or the highway merge lane to get to your workplace? If you are, you should start exploring Read more...
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Buy a Car By Using Your Home for Financing
By Charles Essmeier
New cars and trucks have become quite expensive over the years. Inflation only tells part of the story; a lot of the increase in price is due to technology. Air bags, antilock brakes, and computer systems that control everything have added to the price, too. On the plus side, cars perform better and more safely than they did a generation ago. Safer or not, cars are expensive, and buying one affordably is a problem that most consumers eventually face.
The most affordable way to buy a new car or truck is to take advantage of manufacturer-offered low interest rates, which can occasionally run as low as zero percent. Those rates, while generous, aren't offered very often and are generally available only to buyers with the highest credit scores. Otherwise, consumers are generally forced to use other, more traditional, lending options, such as bank loans or dealer financing. There is one other, and often overlooked, financing option that may work well for a lot of buyers - using a equity loan.
A equity loan is a loan that uses the portion of your house that you own as collateral. If
you have a house that is valued at $150,000 and you still owe $100,000 on your mortgage, the remaining $50,000 is your equity. Lenders will issue loans to consumers using that equity as collateral, and there are some definite advantages for consumers who elect to do so:
Interest rates are more favorable - Interest rates for loans are lower than those for either unsecured loans, such as credit card loans, or car loans. The rates can be several percent lower, saving the buyer quite a bit over the life of the loan.
The interest is often tax deductible - Interest on most equity loans is deductible from Federal income tax, effectively reducing the interest rate for the borrower.
Buyers who consider a equity loan for financing should be aware that they are putting their at risk should they fail to pay off the loan. Lenders could potentially foreclose and sell the to recover their money. Borrowers should also be careful to make sure that the repayment schedule for the loan runs about the same length of time as the buyer expects to own the car. Don't take out a loan with a ten year repayment schedule if you only expect to have the car for four or five years.
The rising price of houses during the last five years has left millions of Americans with substantial equity in their homes. If you are one of the lucky ones, you might wish to consider using a equity loan to finance your next new car or truck.
©Copyright 2006 by Retro Marketing. Charles Essmeier is the owner of Retro Marketing. Retro Marketing, established in 1978, is a firm devoted to informational Websites, including www.LemonLawHelp.net, a site devoted to automobile lemon laws and www.car-insurance-help.net, a site devoted to car insurance.
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