Homeownership comes with many benefits, one of which is the ability to access the equity in your home to finance home renovations or investments. One financing option that homeowners can consider is a Home Equity Line of Credit (HELOC). A HELOC allows you to borrow against the equity in your home and access funds as you need them.
A HELOC works similarly to a credit card. You are approved for a line of credit, which you can access as you need it. With a HELOC, you have a set draw period during which you can access the funds, and you only pay interest on the amount you borrow.
One of the advantages of a HELOC is that you can borrow only what you need when you need it. This means you are not committing to a set repayment schedule or interest rate on a lump sum, giving you more flexibility in managing your finances. You can use a HELOC to finance home renovations, such as a new kitchen or bathroom, or to invest in rental property or other real estate projects.
Marion Community Bank offers a HELOC with a low interest rate of 3.99% for the first six months. During the three-year draw period, you only need to make interest payments on the amount you borrow. This means you can focus on your renovation or investment project, knowing that you have a flexible repayment option that can help you manage your cash flow.
By choosing Marion Community Bank for your HELOC, you also can benefit from our personalized customer service and local expertise. The bank's experienced local bankers can help guide you through the application process and provide you with the information you need to make informed decisions about financing your home renovations or investments.
Financing your home renovations or investments with a HELOC can also increase the value of your home. Home renovations, such as a new kitchen or bathroom, can increase the resale value of your home, while investing in rental property or other real estate projects can generate additional income.
In summary, a HELOC can be a flexible financing option for homeowners looking to renovate or invest in their property. With the ability to borrow only what you need when you need it, and a flexible repayment option, a HELOC can provide the funds you need to make your home renovation or investment project a reality. Contact Marion Community Bank today to learn more about how they can help you finance your home renovations or investments with a HELOC.
Take Advantage of Our HELOC's 4.99% Intro Rate*
Contact us today at loans@marion-bank.com or learn more about HELOCs.
*The Introductory Annual Percentage Rate (APR) is "discounted" meaning it is not based on the Index, which is the Wall Street Journal U.S. Prime Rate, and margin, which is 0.00%, used for later rate adjustments. This Introductory APR will be in effect for the first 6 months and begins on the date of account opening. During this “discounted” period, the APR is 5.059% and the Daily Periodic Rate is 0.0139%. For comparative purposes, currently, the non-discounted Index and margin APR is 9.50% and the Daily Periodic Rate is 0.02329%. After the first 6 months, the APR will be variable and can change daily based on the index, which is Wall Street Journal U.S. Prime rate, plus the margin, which is 0.00%. There is no limit on the amount by which the APR can change during any one year. However, under no circumstances will the APR exceed 18.00% per annum or go below 4.00% per annum at any time.
For an average $40,000 HELOC, the estimate for closing costs is $451 paid by the borrower after the $1,000 lender credit. These closing costs include a flood insurance determination charge of $9.50 and other closing costs that can vary by county and loan amount, such as title fees, appraiser fees, credit reporting fees, and government agency fees. There are no additional finance charges, not calculated by the daily periodic rate. If the Line of Credit is closed within two years of the agreement date, any lender-paid closing costs must be reimbursed to the lender. Offer is only for owner-occupied primary residences. All home equity lines of credit are subject to credit approval and the product promotion is subject to change without notice.
Marion Community Bank | Member FDIC | Equal Housing Lender