Second Mortgages

Second mortgages, also called home equity loans, offer homeowners a very smart way to borrow money for three main reasons:

Interest paid is potentially tax deductible (contact your tax advisor for details)
You can use your loan for absolutely anything from home improvements to vacation expenses
Interest rates are normally lower than for other loan types

TWO EQUITY OPTIONS AVAILABLE

1) UnitedOne offers a "balloon" home equity loan. This type of loan has a fixed rate for 1, 2, 3 or 5 years and payments amortized (spread out) over 10 years. After the initial 1, 2, 3 or 5 year period, the loan is either refinanced into another loan or paid in full.

Rates are determined by the loan-to-value ratio for your home, and closing costs range from $85 to $350. Link to our Rates page below for current rates or our Applications page to apply now.

What is Equity?

Equity is the amount of the value in your home that you own free and clear. UnitedOne Credit Union offers home equity loans for up to 100% of the loan-to-value for your home. Here's how this works:

Your home's market value is $110,000

Subtract the amount owed on your first mortgage - $80,000

This equals the equity in your home $30,000

Amount we can lend you = $ 30,000 (subject to approval)

2) UnitedOne Credit Union also offers a home equity line of credit. This type is an open-ended, variable rate line available to you to use for 10 years without reapplying. The rate is based on the prime rate, and payments are amortized over 10 years. You only make payments when you've drawn on your line.

You can borrow up to 95% of the loan-to-value for your home with this option. Closing costs vary from $85 to $250 depending on whether an appraisal is needed.

Our HELOC offers you unmatched convenience and flexibility! You can access your line with a VISA debit card (accepted anywhere around the world VISA is accepted), through Internet Banking, Touch Tone Teller home banking by phone, and through visits and calls to the credit union. It's a great choice when you want to make home improvements over time, or when you're not sure how much money you'll need or when you'll need it. Link to our Rates page for current rates or to our Applications page to apply now.