What is home equity?
Home equity is the value of your home minus the amount you owe on the home. Home equity is typically one of a homeowner’s largest assets, if not the largest. A home equity loan allows you to tap that equity as a source of funds to use elsewhere.
Uses for a Home Equity Loan
Some of the most common uses are:
- Making home improvements
- Consolidating debt
- Paying for education
Home Equity Loan Options
BankWest Mortgage offers two home equity loan options. Our team of mortgage professionals can help evaluate your needs and options, making sure we provide the best solution for you.
Home Equity Loan
- Loan amount is based on your home’s equity (value of your home minus the amount you owe on the home)
- Funds are provided to you as one lump sum
- Fixed rate with a fixed monthly payment
- A variety of terms and payment options are available.
- Loan is taken out in addition to your home mortgage, and is considered a second mortgage
- Interest may be tax deductible (consult your tax advisor)
The Community Home Improvement Program (CHIP) provides funds for low- to moderate-income South Dakotans to remodel, repair and improve their homes.
- Reduced rates
- No equity required
- Income limits apply
- Funds are disbursed as monitored advances