GUIDE THREE

FOUNDATIONS - HELOCs

We are going to review the history of the Home Equity Line of Credit (HELOC), its moving parts, and how its structure makes it a unique fit for the BreakThru Finance strategies.

Part 1 of 4:

To get this unit started, we will cover some foundational aspects of the HELOC product to set the stage for the following lessons.

Quick Fact: HELOCs are sold by BANKS - not mortgage companies and many of them have minimal to zero closing costs.

Part 2 of 4:

In this video, we will take a look at the mechanics of a HELOC. This will be where we review some of the common elements of how a HELOC actually functions.

Quick Fact: Access to the funds in a HELOC works similarly to your checking account in that you are typically able to transfer funds, write checks, and in some cases, use a debit card or credit card.

Part 3 of 4:

In this SHORT part three of HELOC Foundations, we will look at the Balance and Interest Rate parts of a HELOC.

Quick Fact: Interest costs for a HELOC are often calculated on a DAILY basis.

Part 4 of 4:

Here we are going to look at just a few more elements of HELOCs: credit limit, draw period, and repayment period.

Quick Fact: In Texas, the max LTV you can get is 80% of the appraised value of your home. Other states may allow us to qualify for a higher percentage.