Home Equity Info
Home Equity Information
- 4.25% APR 6-month introductory rate*
- Up to 80% combined loan-to-value (CLTV) ratio
- No processing fees
Think 'flexibility'. A HELOC works a lot like a credit card: you have a certain credit limit to use and pay back. You can use it when you want, and re-use it as often as you like once the balance is paid down where you have credit available; typically with checks or a card. It's also easy to transfer the amount you need from your HELOC account directly to your checking account with Great Southern Online Banking.
Our HELOC has a low introductory interest rate. After the intro period it becomes a variable rate, though, so payment amounts may vary from time to time as the interest rate changes. Even with the occasional rate change, interest on a HELOC is still usually far less than that on a typical credit card.
How is a HELOC different from a Home Equity Loan? With a HELOC, you get a variable rate, variable monthly payments, and pay interest only on the amount drawn; rates and monthly payments are fixed on a Home Equity Loan and the interest starts at loan closing.
Life is full of surprises. Sometimes you need quick access to funds outside your normal expenses. A HELOC is a low-rate, go-to solution for many of those ongoing and unexpected ‘life expenses.'
Typical uses for a HELOC may include items like orthodontics, band or orchestra instruments, education expenses, or technology upgrades. A HELOC can work well for larger-cost items, too, like a vehicle, bathroom remodel or once-in-a-lifetime travel.
- Up to 80% combined loan-to-value (CLTV) ratio
- Low fees
Predictability. Get the full amount you need all at once. Choose from either a fixed rate loan or an adjustable rate loan (ARM). With the fixed rate, your payments are consistent, expected, which may make budgeting a little easier. With the ARM, your payment is consistent for the first five years, and then will adjust as interest rates change. Your Great Southern lender will help you decide which option suits you best.
Our Home Equity Loan offers a few competitive interest rate options. The processing fee on this type of loan is very low, and the application/approval process is simple and fast. Since the loan is given in one lump sum all at once, and the interest rate is fixed (except the ARM option), all the payments remain the same until it's repaid.
How is a Home Equity Loan different from a Home Equity Line of Credit (HELOC)? Monthly payments are consistent on a Home Equity Loan, and the interest starts at loan closing; with a HELOC, you get a variable rate, variable monthly payments, and pay interest only on the amount drawn
Major projects or purchases are worth the cost when they increase your home's value. That's a great point to keep in mind when thinking about a Home Equity Loan. Generally, a Home Equity Loan is a reasonable solution for major, one-time expenses or purchases.
Typical Home Equity Loan uses may include a home remodel, a vehicle purchase, or replacement of larger household appliances. Its uses aren't limited, though, so could include other expenses like debt consolidation (all in one place with a low rate), building a deck, buying new furnishings, or travel.
*Subject to credit approval. Minimum credit line is $6000. Introductory rate is an Annual Percentage Rate (APR) of 4.25% for the first 6 months. Introductory rate is available on new home equity lines of credit only with combined loan-to-value ratio (CLTV) of 80% or less. After the introductory period, the APR is the prime rate quoted in the Money Rate section of the Wall Street Journal (“Wall Street Journal Prime”) plus 0.50%. APR will never be lower than 4.25%, nor exceed 19.50%. The Wall Street Journal Prime on 07/01/2022 at 8:00 AM was 4.75%. Current index (Wall Street Prime) plus margin (0.50%) is 5.25%. Terms and conditions subject to change without notice and may affect this offer. Cannot be used in conjunction with any previous offers. If your property is located in MN, you will pay a mortgage recording tax up to 0.24% of your credit limit amount. See your loan officer for details. Proof of homeowners insurance is required.
1. Subject to credit approval. The annual percentage rate (or APR) is the total annualized cost of your loan. Minimum loan amount is $6,000. Cannot be used in conjunction with any previous offers. If your property is located in MN, you will pay a mortgage tax up to 0.24% of your loan amount. See your loan officer for details. Proof of home owners insurance is required.
For example: a $20,000 loan for 84 months at 5.49% interest rate, monthly payments would be $287.31. Other home equity loan options are available, contact a Great Southern Residential Lender for more details.