Saturday, August 9, 2014

Looming Home Equity Resets

Looming Home Equity Resets
Fears Fading: Millions of customers with home equity lines of credit are expected to see their payments rise in the coming years, but lenders don’t believe these customers pose as much risk to the housing market as they originally feared., The home equity lines of credit, known as Helocs were originated before the housing market collapsed and as home values were still continuing to climb. Many of those lines have a 10-year draw period. But once that period ends – which for many begins next year –borrowers must then begin paying both interest and principal on outstanding balances, read more.

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