As a homeowner, you can benefit from the time and money you have invested in your property. Utilize the equity you have established in your home to fund home repairs, tuition payments, unforeseen expenses and more. Fixed and variable interest rates are available.
A line of credit is essentially a cash reserve that you borrow from as needed. As a revolving form of credit, when you pay off the balance the funds become available to borrow again.
Take advantage of the equity in your current home to purchase your next home. A bridge loan is a short-term loan that helps you "bridge" the gap between the purchase of your new home and the sale of your current home.
It will be necessary for you to gather some additional documentation to submit with the loan application. Those documents include:
Effective Date: Saturday, April 4, 2020
|APR Fixed for first 12 months||APR Variable at Prime Rate thereafter|
|Variable Rate Home Equity Line of Credit1||2.990%||3.250%|
1 12 month introductory rate of 2.990% Annual Percentage Rate (APR) is effective as of the date posted and is subject to change without notice. After 12 months from closing the APR becomes variable at the Prime Rate published in the Wall Street Journal for the life of the line, currently 3.250% APR. Following the initial 12-month period, rates for all lines adjust monthly based on the Wall Street Journal Prime Rate effective on the first business day of the month and the maximum APR is 18%. This Home Equity Line of Credit is a variable rate revolving line of credit with a 15-year draw period followed by a 10-year repayment period. Maximum line amount cannot exceed 80% of the home’s current tax assessed value, less any existing mortgage liens. This offer is available for lines of credit which will be in second lien position to a valid, institutional first mortgage. Lines of credit in first lien position are available, however applicants will be assessed additional closing costs. Offer is only valid on owner occupied 1-2 family homes and condominium units and 1 family or condominium second homes. Homeowners’ insurance is required; flood insurance may be required. If the line of credit is paid off in full and closed within its first 36 months, you will be charged a prepayment / termination fee up to $995, plus a reimbursement fee equal to all upfront closing costs paid by the bank to third parties at closing. Homes currently for sale or intended to be sold within 12 months are not eligible for these terms. Contact us for other terms.
Effective Date: Saturday, April 4, 2020
|APR Fixed for the life of the line|
Home Equity Line of Credit 1
1 Annual Percentage Rate (APR) is a fixed rate for the life of the line of credit. APR requires automatic loan payments from a Melrose Bank checking account. The APR will be .50% higher for lines without automatic payment from a Melrose Bank deposit account. Maximum line of credit amount cannot exceed 80% of the home's current tax assessed value, less the balance on any existing first mortgage lien. Maximum line amount is $250,000. This is a fixed rate revolving line of credit with a five (5)-year draw period during which advances are made and monthly payments of interest-only on the amount outstanding are due, followed by a ten (10)-year repayment period requiring monthly payments of principal and interest. During the repayment period, monthly payments will be equal to 1/120th of the principal balance outstanding at the end of the draw period plus interest on the balance outstanding. This offer is available for lines of credit which will be in second lien position to a valid, institutional first mortgage. This offer is valid only for owner-occupied 1-2 family homes and condominium units; primary residence only. Homeowners' insurance is required; flood insurance may be required. If the line of credit is paid off and closed within its first 36 months, you will be charged a prepayment/early termination fee of $995 plus a cost reimbursement fee equal to all upfront processing costs paid by the bank to third parties. Contact us for other terms. Rate is subject to change without notice.
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