Cornerstone Bank HELOC for Homeowners and Investors

Cornerstone Bank offers a Home Equity Line of Credit (HELOC) designed for homeowners and investors. This type of loan allows you to tap into your home's equity to fund large expenses or investments.

The HELOC from Cornerstone Bank has a variable interest rate, which means your monthly payments may fluctuate based on market conditions. This can be beneficial for those who want to take advantage of low interest rates.

With a Cornerstone Bank HELOC, you can borrow up to 80% of your home's value, minus any outstanding mortgage balance. This can provide a significant amount of funds for various purposes.

A Home Equity Line of Credit, or HELOC, is a type of loan that allows you to tap into your home's equity.

It's a second mortgage that gives you access to cash to help with things like home improvement projects or unexpected expenses.

A HELOC is based on the value of your home and can be used for various purposes, such as funding a dream vacation.

You can draw from this line of credit and repay all or some of it monthly, making it work similar to a credit card but secured by a mortgage on your home.

Most HELOCs have a variable interest rate, which means it can change as the baseline interest rates go up or down.

Your banker will set your starting interest rate using an interest rate index and add a markup based on your credit score and loan-to-value ratio.

A higher credit score can result in a lower markup on your interest rate.

Before signing off on the HELOC, review all the documents and the margin with your banker to ensure you understand the terms.

A HELOC operates more like a credit card than a traditional loan, where you receive a lump sum upfront.

You'll be given access to a line of credit with a predetermined limit, which you can borrow from as needed, up to the limit.

The minimum payments you must make each month cover only the interest for the actual amount you've borrowed, not the entire credit line.

Our Home Equity Line of Credit (HELOC) product offers a flexible way to access funds for various financial needs, such as home improvement projects, unexpected expenses, or that dream vacation.

You can draw from the line of credit and repay all or some of it monthly, making it a convenient option for managing your finances. The introductory fixed rate of 5.99% APR is available for the first 6 months, after which the rate becomes variable, based on the Prime Rate minus 1.00%.

The Home Equity Plus Line of Credit allows financing up to 90% of your primary residence's value, providing more flexibility for larger projects. You can convert all or a portion of your balance to a fixed rate and term during the draw period, with a maximum of three fixed rate advances allowed at one time.

Here are some key features and options to consider:

A minimum monthly payment of $50.00 is required during the draw period, followed by a 15-year repayment period of principal and interest payments. You can also choose to pay for a full appraisal if you prefer, with fees ranging from $500 to $690 depending on the type of property.

Cornerstone Bank's Home Equity Line of Credit (HELOC) offers flexible loan terms. You can borrow up to 80% of your home's value, up to $500,000.

Interest rates are competitive, with rates as low as 4.99% APR. This can help you save on interest over the life of the loan.

A HELOC can be used for a variety of purposes, such as home renovations, debt consolidation, education expenses, emergency funds, and investments.

Home renovations are a great way to use a HELOC, allowing you to cover the costs of your home improvement projects and updates.

Debt consolidation is another benefit of a HELOC, as using lower-interest funds to pay down high-interest debts like credit card balances or personal loans can save you money on interest payments.

You can also use a HELOC to fund higher education expenses, such as tuition fees, books, and supplies.

Having a HELOC in place can provide you with a financial safety net in case of unexpected expenses, such as medical bills or major car repairs.

Here are some examples of how you can use a HELOC:

Today's rates for the Cornerstone Bank Home Equity Line of Credit for Investment properties are based on the Prime Rate, which is currently 7.50% as of December 19, 2024.

The APR, or Annual Percentage Rate, is a variable rate that's adjusted monthly based on the Prime Rate plus a margin of 1.00%. This means your rate can change over time, but it will never be lower than 4.25% or higher than 18.00%.

Here's a breakdown of the rates for different terms:

Keep in mind that these rates are subject to change, and your actual rate may be higher or lower depending on your individual circumstances.