Pay off mortgage loan to build wealth; be cautious of HELOCs
Nearly a decade since the Great Recession decimated wealth in American real estate, we’re seeing the return of a major contributing factor that had all but disappeared from the industry. The home equity line of credit is back.
A HELOC is a line of credit backed by a homeowner’s real estate equity. Once approved, consumers can essentially charge their expenses to the HELOC like a credit card and then pay back the balance each month – usually with a much lower interest rate...
