Your home equity can provide you with funds when you need (or want) it most.
Some things in life aren’t part of the budget. Like, say, a wedding. Or a large medical expense. But that doesn’t mean you can’t prepare for them. With Citi’s home equity loans, you can easily finance the big events in your family’s life. Reduce the stress of paying off your debt with a Fixed Rate Home Equity Loan, which has a rate you can count on to never increase. Or gain fast access to funds at unpredictable times with a Home Equity Line of Credit (HELOC).
Home Equity Line of Credit
Plan for the unexpected by establishing a readily available home equity line of credit. By establishing a credit line, you can give yourself the security of having access to funds at the write of a check. Better yet, using a home equity line of credit gives you a preferred variable interest rate. If interest rates drop, there is no need to go through the hassle of refinancing.
- Don’t Pay for what you Don’t Use. A home equity line of credit is ready for whatever life brings your way. You pay interest for the funds that you access. If you end up not accessing the funds, keep the available credit for a rainy day.1
- Reduce your taxable income. Your interest paid with a Home Equity Line of Credit can potentially be 100% tax deducible. †
Fixed Rate Home Equity Loan
A home equity loan has a fixed rate. It's also called a fully amortized loan - amortized simply meaning that your principal and interest payments are spread over the life of the loan. So you have a fixed, set payment each month that stays the same for the life of the loan.
- Maintain a fixed interest rate. By choosing a home equity loan, you can lock in your rate today.
- A Fixed Payback Plan. A home equity loan allows you to payback the loan on a fixed term.
- No Closing Costs. Citi pays 100% of the closings costs on your behalf. 2
- Reduce your taxable Income. Your interest paid with a Home Equity Loan can potentially be 100% tax deductible. †
Other Ways to Use Your Home's Equity
1 Interest-Only payments: If you choose to pay only the amount of interest due, then at the end of the interest only period you will still owe the original amount you borrowed and your monthly payments will increase because you must pay back the principal as well as interest. Your payment could increase even more if your variable interest rate increases.
2 No Fee/No Closing Costs: For both home equity loans and lines of credit, property insurance and the fee to release an existing mortgage may be required. In addition, an early closure release fee may be charged to recover all third party costs incurred in originating your home equity loan or line of credit if you close your account within 36 months. (Not applicable in Texas.) On home equity lines of credit only, an annual fee of $50 will apply starting on the first anniversary of credit line account opening. (Not applicable in Texas.)
† Consult a tax advisor regarding the deductibility of interest.
