Line of Credit Home Loans
With a line of credit home loan, you can access the equity in your home and use it for things like renovations, investments or other personal purchases. It’s a bit like having a credit card with a big limit, but your home acts as security for the loan.
Pros — What’s good about a line of credit loan?
- You only pay interest on what you use. Although you have access to all the equity in your home, you only pay interest on the funds you draw down.
- ATM/EFTPOS access. You can draw down money from your line of credit just as you would a normal savings account, using ATMs and EFTPOS machines.
Cons — What’s bad about a line of credit loan?
- You have to be disciplined. You need to make sure you pay off the principle as well as the interest, so that your loan reduces over time.
Still have questions about line of credit home loans?
If you have any questions about line of credit loans that aren’t covered above (in fact, even if they are!), please feel free to give us a call on 1300 883 292 or enquire below, and we’ll call you.