Are the terms interchangable or are they two different things?
2007-08-08 01:36:55 · 4 answers · asked by Joe 6 in Business & Finance ➔ Renting & Real Estate
Yes, a home equity loan IS a 2nd mortgage.
Some people however, consider a "2nd mortgage" to be a closed-end fixed rate lump sum loan. While a "line of credit" is revolving and can be used over and over again.
But both loans are actually 2nd mortgages because they are in 2nd lien position to the 1st mortgage on title.
2007-08-08 02:27:57 · answer #1 · answered by Mortgagemom 3 · 14⤊ 1⤋
They are the same thing.
2nd mortages have many different names. Piggy back loans, home equity line ect ect.
Its basically just a loan against your first mortgage. The banks however may treat it as a "loan" and not a mortgage. Which ussualy means when you want to talk to someone from your bank about it that they ahve to transfer you to a different department.
2007-08-08 10:25:52 · answer #2 · answered by Anonymous · 1⤊ 1⤋
Yes.
2007-08-08 08:45:14 · answer #3 · answered by enigmatech13 2 · 0⤊ 1⤋
Just don't get a home equity loan on a home you have no
equity in. <}:-})
2007-08-08 08:42:51 · answer #4 · answered by Anonymous · 1⤊ 4⤋