Love the video - quick easy and informative. Question…will the HEL affect my current Mortgage interest rate or is it separate?? Assuming the HELOC is separate but not sure on the HEL. Thanks
I'm studying for my license right now and have watched so many different channels to try to get clarification on topics but the way you explain things really just clicks for me, thank you for making these videos!
Take my MLO test next week out here in CT. I've watched quite a few of ya clips champ, grateful for sure. The edits, as a film guy, official tissue. The info, as a soon to be MLO, beyond informative. And entertaining. Peace to u fam!!!
Hm... that's an interesting one. We don't have one dedicated to time-based questions, but that's not to say we won't make one. What kind of questions specifically are giving you trouble?
@@USRealtyTraining just had my RE exam , one of the questions was how many years of experience does a salesperson need to have to become a branch manager?
At that point you're borrowing money from the bank to pay back the money you just borrowed, if I understand your question correctly. At that point, the loan functions like a HELOC with extra steps.
But also your monthly payment would still be a the amount of a 50k loan. With the heloc youll only be paying monthly for what you used (25k) during the draw period
HELOC to me doesn't make sense. Current HEL rate is 5.4%. HELOC is 9.1%. I'd rather take the HEL pay back the extra 25k on the principal and make my monthly payments on the remaining 25k at the lower rate. HELOC would be better to have for unexpected emergencies over using a cc.
Glad you liked the video, Patricia! You can go either way. If you want 50k as a property improvement budget, you can take out a home equity loan for 50k. But, if you want to spend only the amount that the improvements cost (let's say they end up costing 45k), you can take out a home equity line of credit (HELOC). All of this can be done by speaking with your bank. Hope this helps.
@@USRealtyTraining Hi quick question. Can a licensed real estate agent in California pay an unlicensed assistant for cold calls/prospecting/marketing? And allowed to pay them bonuses for sales and referrals made?
HELOC is interest only for the first 10 years! HELOAN you pay off principal and interest just like a second mortgage. HELOC is a good option only if you know you have cashing coming up so you can pay it off right away otherwise its a waste of money bcuz nothing goes towards principle.
Glad you liked the video! They do charge interest on both loans, which is why HELOC is a little better in the sense that you may end up borrowing less money.
Yes but this applies only to California. You will need a social security number or an individual tax identification number in order to get your license in California.
Awesome information. Very informative video. I just got my ca real estate license last month in April and I'm ready to go.. I watched some of your videos and I am learning from you.. Thank you for sharing your knowledge I really appreciate you🏆
Edwin, congrats on getting your license! It's great that you're rearing to go in this career because it's a great one. Glad these videos help you out! If there's anything that comes up in your career that you have a question about, let me know. Happy to discuss it in the videos!
It sounds pretty much the same.. If you get the home equity even though you took out the 50,000 and you only use $25,000 then you can take the $25,000 and pay them back so you only owe $25,000 just like the home equity line of credit if you took $50,000 and you only use $25,000 the only responsible for 25,000 I'm so confused it sounds like the same thing
You pay interest on what you use with a HELOC and pay interest on the full amount on a Home equity loan. Example bank gives a heloc “a line of credit” of 50k but I only use 25k I pay interest on the 25k however with a Home equity loan bank gives you 50k you pay interest on the full amount whether you spend 1$ or all of it. Seems the worst of the 2 options if you ask me 🤷🏾♂️. Hope this helps
HELOC's typically start with a lower interest rate than a HEL and you will only pay interest on what is borrowed. So, you could pay more in interest if you take out a HEL.
Love the video - quick easy and informative. Question…will the HEL affect my current Mortgage interest rate or is it separate?? Assuming the HELOC is separate but not sure on the HEL. Thanks
I'm studying for my license right now and have watched so many different channels to try to get clarification on topics but the way you explain things really just clicks for me, thank you for making these videos!
Thanks for the kind words. Glad it was helpful! Thanks for watching.
Is it possible for someone who is not a native to get a licence after passing a state exam?
This was the best explanation I’ve heard yet ..This guy took his gift of story telling and incorporated in a TH-cam channel.
Passed my RE exam. Thank you CA realty training
Congrats, Savage! Happy for you. *YOU GOT THIS!*
I would give the $25k back and owed them $25k for the pool purchase 😂
But you're now stuck paying on 50k loan terms whereas you could've finance 25k for much better options
But what about the rates? 1 is locked in ,loan, and the other ,heloc, isn't
Take my MLO test next week out here in CT. I've watched quite a few of ya clips champ, grateful for sure. The edits, as a film guy, official tissue. The info, as a soon to be MLO, beyond informative. And entertaining. Peace to u fam!!!
Much appreciated! Thanks for watching, Anthony and best of luck on your test. Be sure to drop back in and let me know how you did.
You are the BEST! You transmit the love and passion you have for this industry. I always feel motivated and learn from you!
I appreciate that! Thanks for watching, Erikitty!
This explanation is what I needed to see!! Thanks for sharing!!!
Absolutely! Thanks for watching the video and dropping a comment! Hope you subscribed for more content just like this.
i love the " do it, it brings love to the home and family" none of the other financial youtubers are talking like that.
At the end of the day, that's what it's all about. Thanks for watching.
I love how you explain things! Thanks!
You are so welcome! Glad you enjoyed the vid. Thanks for watching.
Do you have to have good credit for either one ?
You are so helpful! Such a good teacher
This is the best explanation of these two terms I have seen on this app. Thanks a lot!!!
HELOC is always a variable rate? And HEL is or can have a fixed rate?
Best video we have seen yet, thank you so much!
Wow, thank you! Glad you enjoyed it.
Will these loans cause an increase in the mortgage though ?
Brilliant! You explained it. Line of credit, I'm buying the pool and making the pool house an AirBnB.
Sounds like a great idea. Carolee and I will take a little vacay when it's ready 😎
Will either raise your mortgage ?
Great video. Please Where can i find a video for ( years /time question related ) like what year was …. Or how many years of experience…… ?
Hm... that's an interesting one. We don't have one dedicated to time-based questions, but that's not to say we won't make one. What kind of questions specifically are giving you trouble?
@@USRealtyTraining just had my RE exam , one of the questions was how many years of experience does a salesperson need to have to become a branch manager?
That question was on my test as well, passed 😍
Hi, I currently have a 1st mortgage and a HEI or HEA with Point. Am I now stuck to get anymore cash out?
great video. question. if you get the heloan, why not use the other 25gs that you didn't need for the pool to pay back the bank?
At that point you're borrowing money from the bank to pay back the money you just borrowed, if I understand your question correctly. At that point, the loan functions like a HELOC with extra steps.
@@USRealtyTraining as long as that can be done I'm thinking it solves the problem in your scenario. Cool. Thanks
@@Iceman-gm1fu stay cool, Iceman!
But also your monthly payment would still be a the amount of a 50k loan. With the heloc youll only be paying monthly for what you used (25k) during the draw period
HELOC to me doesn't make sense. Current HEL rate is 5.4%. HELOC is 9.1%. I'd rather take the HEL pay back the extra 25k on the principal and make my monthly payments on the remaining 25k at the lower rate. HELOC would be better to have for unexpected emergencies over using a cc.
Great information! Question: what if you have 100% equity but need 50k to improve the property, how to apply this strategy? Thank you
Glad you liked the video, Patricia! You can go either way. If you want 50k as a property improvement budget, you can take out a home equity loan for 50k. But, if you want to spend only the amount that the improvements cost (let's say they end up costing 45k), you can take out a home equity line of credit (HELOC). All of this can be done by speaking with your bank. Hope this helps.
@@USRealtyTraining Hi quick question. Can a licensed real estate agent in California pay an unlicensed assistant for cold calls/prospecting/marketing? And allowed to pay them bonuses for sales and referrals made?
Clearest explanation I've found thank you!
Great to hear! Thanks for watching.
Very informative! It’s great to learn more about home equity loans and home equity lines of credit.
Glad you enjoyed it! Thanks for watching.
HELOC is interest only for the first 10 years! HELOAN you pay off principal and interest just like a second mortgage. HELOC is a good option only if you know you have cashing coming up so you can pay it off right away otherwise its a waste of money bcuz nothing goes towards principle.
Good to know! Thanks.
exactly the type of example i needed ty only question do they charge % on the loan or credit ?
Glad you liked the video! They do charge interest on both loans, which is why HELOC is a little better in the sense that you may end up borrowing less money.
Is it possible for someone who is not a native to get a licence after passing a state exam?
Yes but this applies only to California. You will need a social security number or an individual tax identification number in order to get your license in California.
@@USRealtyTraining thanks for the reply proud of you
What option gives you the best interest rate?
Depends but HELOC's typically start with a lower interest rate.
Awesome information. Very informative video. I just got my ca real estate license last month in April and I'm ready to go.. I watched some of your videos and I am learning from you.. Thank you for sharing your knowledge I really appreciate you🏆
Edwin, congrats on getting your license! It's great that you're rearing to go in this career because it's a great one. Glad these videos help you out! If there's anything that comes up in your career that you have a question about, let me know. Happy to discuss it in the videos!
Thanks!!!
You're welcome! Thanks for watching, ReceBaby!
It sounds pretty much the same.. If you get the home equity even though you took out the 50,000 and you only use $25,000 then you can take the $25,000 and pay them back so you only owe $25,000 just like the home equity line of credit if you took $50,000 and you only use $25,000 the only responsible for 25,000 I'm so confused it sounds like the same thing
Agreed....In my head it still sounds the same.
What. One is if you took 50 and only used 25 you still owe 50
Suppose you get a HELOC for $50000 and you use $45000. Does it hurt your credit score for high utilization like other revolving credit accounts?
All I understood was you borrow regardless which one format you use and you still have to pay the $50,000 I'm confused what's the difference..
You pay interest on what you use with a HELOC and pay interest on the full amount on a Home equity loan. Example bank gives a heloc “a line of credit” of 50k but I only use 25k I pay interest on the 25k however with a Home equity loan bank gives you 50k you pay interest on the full amount whether you spend 1$ or all of it. Seems the worst of the 2 options if you ask me 🤷🏾♂️. Hope this helps
Like everyone who just got approved for $50k your gonna use the whole amount.. trust me
Nice I got learnt today. So I can now go buy a lambo
Wow! Congrats! Make sure you drive responsibly with it.
No one is explaining the interest rates. Is a helpful charge like a credit card. Then I will pay more in interest than the other.
HELOC's typically start with a lower interest rate than a HEL and you will only pay interest on what is borrowed. So, you could pay more in interest if you take out a HEL.
Don’t forget about interest on that heloc
Who's that clean shaven guy that sounds like Robert Rico?
New look, new location 😎
Hey forgettabout it !!!!!
badda bing badda boom. You get it.
OK, so...First payment: "Here's the $25k that I didn't need!"
"Ok, then all that's left is payments on the $25k that you did need!"
That’s the biggest difference??? How about the amortized repayment schedule for the loan?.