Is it good to borrow home equity loan?
A home equity loan is a loan which is borrowable against equity. In the financial terms equity is an asset that may have liabilities or debts attached to it. Equity is calculated after subtracting these liabilities from the actual value of a said asset. Equity loan is actually a second loan or mortgage or known as home equity installment loan. Home equity loans Canada can be availed on both residential and non-residential properties. The value of the property is calculated on the present market value and the loan can be availed for any purpose. It is important for you to understand what an equity loan is so you can apply for it as an informed choice. The loan is good if it is going to be used for the purpose of increasing the value of the home or build equity. Excellent credit history is necessary to avail a home equity loan and bad history may reject your loan application. Home equity loan types There are 2 types of home equity loan available and they are · Fixed r