http://www.mortgage-loan-help.com/home-loan/home-equity-rates.html The home equity rates you see advertised are surprising enough - wait till you actually apply and see what home equity rates you qualify for! en-us Sat, 26 Jul 2008 15:00:00 EDT Sat, 26 Jul 2008 15:00:00 EDT Weblog Editor 2.0 A recent survey of home equity rates showed an average of about 7.5% APR on a $50k home equity loan for applicants with excellent credit histories - not too shabby. But from a quick alone you can tell a lot about the costs of home equity: Accessing your equity charges higher interest than the rates attached to first mortgages. Slight differences in your credit score will cause drastic increases to your home equity rate. Taking out a home equity loan will be a major financial commitment, much greater than the one you thought you would be making by accessing your own equity! Remember, the money in your home is only as good as what the next buyer is willing to pay for it. Equity does not mean you hjave money yet, and if you want to access that equity you have to be ready to pay. Lowering your home equity rates The first thing you need to remember when looking for home equity financing is home equity loan rates are not the most important aspect to consider. How and when you use your equity is significantly more important than the rates you pay - use your equity wisely and no matter how high your home equity rates you'll still have a great deal. But that doesn't mean you should settle for higher rates just because you're given the opportunity, and we have some tips on getting your home equity rates down to their lowest possible levels while still maintaining the efficiency of the loan itself: Improve your credit score before applying for equity loans. Bad credit is exaggerated in equity loans, and you don't need to pay the high fees if you can fix up your credit within a few months. Stay flexible. You might have a definite plan for your equity, but their is more than one home loan that can skin a cat. Consider the options available with your lender - adjustable rates, different loan terms, even different overall loan amounts. Consider a home equity line of credit. You'll always find lower rates with a HELOC - sure they're always ARMs, but the rates are just low! Whether you follow our advice or no just keep that golden rule in mind - never base your equity decisions off the question of rates. Sat, 26 Jul 2008 15:00:00 EDT