PITI the Fool - Home Equity Loan Rates

Home Equity Loan Rates - Sucka Foo's Up In New York

Before I hope in the rink with these loudmouth home equity loan rates there is a few things you should know about them, a few truths that invariable must be told.

Your home equity loan rate will be higher than a current mortgage for purchase. These are second mortgages, meaning when you skip down or get dumb with your home financing obligations your first mortgage holder will have first dibs.
Since a home equity loan is more a luxury item to be taken out by the rich man and his plastic wife, the price for these loans are more flexible that for a comparable mortgage for purchase.

Aight, I've givin' these flim flam loans enough time to stew - HERE COMES THE PAIN! I PITI the foo' who be accessing their home equity without knowing a lick about their rates!

Knocking down your home equity loan rates

The home equity loan rates you receive in your quotes will be based off two separate rates: the prime rate, or the national rate that the banks are charging on all their home loans, and the margin rate, the amount of profit your lender seeks off of your mortgage. Its the margin that you need to worry about, and its the only part of your home equity loan rates that you stand a chance at changing. But you gotta be tough, you gotta be mean and you gotta know how and where to bring the pain - understand where your lender is vulnerable and attack them with all the fury you got!

Your lender is a sissy baby jellyfish

At the first sign that they are losing your business your lender should lower your home equity loan rates. These guys are spineless, they stand for nothing but money and even the slightest profit will make them happy. So make them only happy enough to have your business and not turn you down, know where your strengths and your bargaining chips are and bring these sucka fools straight to the mat:

Your lender wants a clean credit history? Do some housecleaning and give them what they want. Show them how successful you've been with your current mortgage payments, and how much you have remaining of your income to handle the costs of these equity loans.
They want a plan for your equity loan? Have a plan, don't be no fly by night fancy boy! if you want lower home equity loan rates you're gonna have to know exactly where this equity is best spent - show your lender that you aren't just gonna spend your money on gold chains and vans!
These guys like to make money, and they hate it when someone other than them makes money. Let them know your other offers, the home equity loan rates quoted you by other lenders, and they will change their tune sure enough.

Bring the pain, kid!