Open the door to new possibilities
It turns out that home is where the cash is! If your home is worth more than you owe on it, you can use that equity for home improvements, debt consolidation, college tuition payments, or even to take you on your dream vacation. With a home equity loan, you make fixed payments of principal and interest. With a home equity line of credit, you only need to make interest payments during the draw period.
Not ready to apply? Contact a HELOC Specialist
Benefits of Borrowing from Jovia
Keep monthly payments low
Take advantage of a low introductory rate, as low as 0.99% APR‡ for the first nine months, and a competitively low rate following the introductory period.
Ever had to choose between going big or going home? Now you can go big for your home, and borrow up to $1,500,000, based on the equity in your home.
Convert a portion to a fixed-rate
Convert either a portion of your line or the entire credit limit to a fixed-rate loan during the draw period. This gives you control of your situation and allows you to pick the option that best aligns with your cash flow.
If you are ready to take on a big project or expense, you can borrow up to 100% of your home’s value, minus your mortgage balance, so you can do more with your home’s equity.
Questions? We have answers!
While both a Home Equity Line of Credit or HELOC and a Second Mortgage are additional mortgagees on your house, the difference between them is how the funds are paid out and how the loans are managed by the lending institution.
A Home Equity Line of Credit, or HELOC, works as a revolving line of credit with the equity built up in your house as collateral. The credit is available for ten years, known as the Draw Period in which you are only responsible for interest payments. Once the ten years has passed, you enter the twenty-year repayment period where you can no longer draw on the line and are responsible for interest and principle payments. The amount of the payment is determined by your rate and the amount you owe.
Like a HELOC, a Second Mortgage is also a loan that uses your home as collateral though it has many differences. When a second mortgage is opened, the amount of the loan is paid out up front in one lump. The payment amount is set and doesn’t waver.
The Home Equity Line of Credit is a variable rate product tied to Prime Rate. As such, the interest rate cannot be locked. However, if eligible, you will receive an introductory rate for 6 months.
Our Home Equity Line of Credit offers a no closing cost option when you take a minimum advance on your line at the time of closing. The minimum advance amount varies depending on the line amount. If you elect not to take the minimum initial advance, you will need to pay the closing costs at closing.
You have the option to roll those costs into your line and pay them over time.
After the introductory period ends, the interest rate on our Home Equity Line of Credit is based on the Prime Rate plus or minus a margin which is established when the account is opened. This rate is subject to change on a monthly basis.
If you are worried about rising interest rates, you can always "lock-in" the interest rate on a portion or all of your Home Equity Line of Credit!