Mississippi second mortgages
When you need cash, you may be able to get it from your home. A second mortgage helps you turn home equity into cash. Here’s what you should know about second mortgages:
* Two types of second mortgages exist. One is a fully amortizing home equity loan with a fixed rate. The other is a variable rate HELOC or Home Equity Line of Credit which requires payments equal to interest only.
* Since the lien on your first mortgage has priority over the lien on the second mortgage, lenders usually charge higher rates of interest on second mortgages.
* Home equity (property value minus balance due on first mortgage) is used as collateral for a second mortgage.
