The 3 most important requirements to borrow from home equity.. a home equity loan, home equity line of credit or cash-out refinance.. While federal rules are the same everywhere, state rules.
You will also want to consider the new tax rules, which have generally eliminated the interest deduction you were able to take for funds taken out through a cash-out refi, home equity loan or line of.
A home equity line of credit (HELOC) is a secured form of credit. The lender uses your home as a guarantee that you’ll pay back the money you borrow. Home equity lines of credit are revolving credit. You can borrow money, pay it back, and borrow it again, up to a maximum credit limit. Types of home.