I've heard of the advantages of using my home's equity to pay off my high interest credit card debt. But I don't understand the differences between a debt consolidation loan and a line of credit. Is there any?

Both use your home's increased equity to provide you with available cash. Debt consolidation loans are generally referred to when the loan is set at a fixed rate and a fixed monthly payment, for a fixed length of time. An example of this would be a loan for $10,000 at 10% for 10 years. A home equity line of credit has a variable interest rate related to the prime rate of lending, with a maximum amount of cash available. You can draw the money out at intervals and monthly payments vary, but usually require only the monthly interest. Both provide excellent options for the homeowner.

I currently have a first home mortgage and a second mortgage that I used for debt consolidation. I would now like to combine these to lower my monthly payments, but was told I did not have enough equity to do this. Can this be true?

Possibly, but don't give up so quickly. Most standard refinances will only permit combining mortgages up to a maximum 90% of the appraised value of your home. But some fairly new mortgages will allow you to use all your equity to combine these mortgages into one. The rates are competitive and promote many benefits to the homeowner. You may wish to pursue one of these options.

I'm self-employed and interested in either refinancing or getting an Equity Line of Credit. However, many people have told me that my self-employment will be a problem. What's the story?

This is not a problem in most instances. Most companies require a two-year history of self-employment before approval of mortgage financing. But there are some ways around this issue. There are also many programs available that do not require income verification, but rather use your credit history and other supporting documentation. You may wish to contact us to discuss your situation in more detail.

I'd like to buy a home but have little money saved for a down payment. Is there anything that I can do?

Once someone makes the decision to buy their first home, there are many possibilities regarding financing your dream. If you've established good credit and make rent payments now, you may be an ideal candidate for financing on a 100% new mortgage. There are many products designed to help you purchase the home of your dreams without the requirement of a down payment.

I have wanted to refinance but don't want to pay a lot of money up front. My credit is not great and I can't afford to pay several hundred dollars to just get denied. Is there any way to keep my cost down?

Actually, we don't charge any upfront fees. We only get paid if your loans closes. We do not charge any application or credit fees. Many companies do charge in excess of $300 at the beginning of your application process, but we don't think this is to your advantage.