Home Equity

Borrow against the equity built up in your home with a MEFCU Home Equity Line of Credit or a fixed rate Home Equity Loan. Make home improvements, consolidate debt, pay for education expenses, buy a car, pay income tax, or use it for any other large purchases you want.

Equity is the difference between your home's market value and the amount owed on your mortgage. If the market value of your home is $250,000 and your mortgage balance is $150,000, your equity would be $100,000.

Home equity borrowing offers two major advantages compared to other loans:

• Since your home secures the loan, interest rates are typically lower than what you pay on a credit card or signature loan
   
• The interest you pay on a home equity line of credit or second mortgage is usually tax-deductible, which reduces the cost of borrowing even more by lowering your overall tax bill. (Consult your tax advisor about your specific situation)

Members have two home equity borrowing options:

• Home Equity Line of Credit--borrow only what you need from a revolving line of credit at a variable interest rate
   
• Fixed-Rate Home Equity Loan--borrow a specific dollar amount at an interest rate fixed when the loan is closed

To apply, call 1-800-821-7280 (301-634-5100 in the Washington, DC area) to speak with a Home Equity Specialist.