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Home equity lines of credit typically require the borrower make a monthly payment to the lender during both the draw period and any repayment period. For some home equity lines of credit, the monthly payment during the draw period may include only the needed amount to pay the monthly interest on the outstanding balance.
What is Home Equity? (with picture) – wisegeek.com – Home equity is the amount of money you have already paid against the value of your home. A simple formula for determining your home equity is to subtract the amount of the mortgage balance from the current fair market value of your home. In other words, your equity increases as your mortgage balance decreases.
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How is home equity calculated? | HowStuffWorks – How is home equity calculated? by HowStuffWorks.com Contributors Next . Put very simply, your home equity is the worth of your home, minus the amount still owing on your mortgage. For example, let’s say you bought a house that cost $280,000 with the help of a $200,000 mortgage from the bank.
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