Equity is the difference between how much your Bennington, Vermont real estate is worth and how much you owe on that property. So if your property is currently appraised at $200,000, and you still owe $60,000, the property’s equity is $140,000.

A home equity loan is a line of credit based on that amount, using the equity as collateral (or tangible property to guarantee a loan).

Are you considering using a home equity loan to buy a second home? Contact Troy Richardson to help you find the right home and offer lists of local lenders or mortgage companies.

This entry was posted on Monday, February 1st, 2010 at 3:16 pm and is filed under Bennington VT, Buying, Mortgages. You can follow any responses to this entry through the Bennington VT Real Estate RSS 2.0 feed. Responses are currently closed, but you can trackback to Bennington VT Real Estate Commentary from your own site.