A 100 per cent loan to value home equity loan can be defined as a kind of second mortgage. In this case you, the homeowner, would be allowed to borrow a maximum of the 100 per cent value of your home. The amount that you would be allowed to borrow would be subject to any and every existing loan that you might have at present. For example, if the total of your existing loan and home equity line of credit or loan, and your existing mortgage is equal to 100 per cent of your home’s value. This is the reason why a home equity line of credit 100 loan to value is so popular.
These loans normally have fixed rates of interest on repayment. The term period of these loans could be either 15 years or 30 years. These loans can be amortized as well. The open-end home equity loans tend to be offer a greater degree of flexibility. In this case, you have the luxury of being able to choose the times and the frequency at which you would receive the equity amount. Many people also settle for these when it comes to 100 percent loan to value HELOC (home equity line of credit). These loans normally come with variable interest rates.
In non-technical language, this would mean that these loans enable you to get access to the complete value of your home as such. There are normally two major kinds of these loans – a closed end home equity loan and an open end home equity loan. A closed end home equity loan is one where you would get a lump sum at the time when the loan is closed. As far as a 100 LTV home equity loan with bad credit is concerned these happen to be a popular form.
Normally the number of times that you are allowed to access this credit is dependent on the lender who is issuing you the loan. The loan period could go up to as much as 30 years. For more information on home equity line of credit mortgage please visit Mortgagerefinancebadcredit.com