How much can you Borrow? The question everyone applying for a loan wants the answer to is "how much do I qualify for? Depending on your credit score & the amount of your revolving debt, a few home equity lenders may let you borrow up to 100% of the appraised value of your home. When you apply for a loan online, always ask the lender about the terms for the home equity loan. How many years is the loan for? Is the interest rate fixed or variable? If you are applying for a home equity line of credit, discuss whether or not there is a minimum draw requirement at closing.

Don't forget to find out about the accessibility. In other words, how do you access to your credit line? (ie. checks, credit card, etc.?) Ask the loan officer if after the draw period expires, whether or not it will you may be able to renew your credit line. If you cannot, find out if the interest rate will continue to be variable for the repayment period. If there are fixed rate options, get them.

Verify with your loan officer that there is no balloon payment with the second mortgage. If there is, you may be required to pay off the entire outstanding balance, when the balloon payment is due.

How much cash can you get out of your home? If you have good credit, and have for example $75,000 in equity, you should be able access the entire $75,000. There are quite a few home equity lenders that offer equity loans up to 100% of the appraised value of your home. A few brokers and lenders, like BD Nationwide Mortgage can offer you second mortgages up to 125% of home's appraised value. Typically 125% loans will have some cash out limits. Depending upon your credit score, 125% second mortgages will allow cash back between $25,000 and $75,000 in addition to the debt consolidation.