For simplicity, a HELOC can be considered as a low interest, high limit credit card or “line of credit”. The payment for this loan is in addition to your primary mortgage therefore it is considered a second mortgage. Your HELOC may be used truly as a second mortgage and is often used to supplement a lower down payment. However, this “line of credit” can also be used for other purchases such as home improvements, electronic gadgets, etc. Once you have qualified for a HELOC, you may use all of your line, a portion of it or none of it. Your payments will be based only on the used portion, much like a credit card. A HELOC is a great “safety net” to have available for your use.

The Home Affordable Refinance Program, or simply “HARP”, is a program that was designed a few years back by the FHA (Federal Housing Administration). In the recent unstable financial times, a lot of homeowners were caught “underwater” in a less than ideal loan. The HARP program was instituted to allow relief to these homeowners by letting them refinance at lower, current rates. If eligible, homeowners can improve their situation by either dropping their monthly payments, their rate or moving from an ARM (adjustable rate mortgage) to a fixed rate program. Please discuss eligibility requirements with your LaChica loan agent to find out if this program can benefit you.

For homeowners who have considerable equity in their homes, a reverse mortgage allows you to use or “convert” this equity into cash. This cash can be used at your discretion for paying off bills or for meeting any other financial commitments. There is an age restriction (currently 62 years or older) for you to qualify. Due to varying options, there is likelihood of fraud in this category of loans, your LaChica Loans agent will demonstrate a high level of discretion and confidentiality.

Too many credit cards and personal loans? Too many payments and high interest rates? See your LaChica Loans agent to find out if you qualify for a debt consolidating loan. One loan with a manageable interest plus one payment instead of multiple payments and due dates can put you back in control of your debt. This type of loan has helped millions of consumers return to stability in times when their debt seemed overwhelming or difficult to manage.

If you have a FHA loan and wish to refinance, the FHA streamline program is special refinance program available for you. As your LaChica agent will explain, besides the simplicity of the process, there are several advantages in this program. Usual requirements such as income Income verification, asset verification and LTV (loan-to-value) comparison are some that are exempt in this program.

Private or “hard-money” lending is available for home purchases and mortgage refinances. Individual investors or groups of investors either “buy” your loan or finance a fund that “buys” your loan. This is a great tool available to your LaChica agent to assist you by offering additional refinance options.