Home equity line of credit
We are getting close to buying our first house. We are putting 20% down payment.
We want to get a line of credit on the house but don't know what is involved.
Do do this though out mortgage broker or through someone else?
Is it done at the time of closing or after closing?
Do we have to specify the amount we want or is it calculated based on some criteria?
If we don't plan of using it right away, can it just sit there until we need it?
If/when we need to use it, how do we get the money?
How is the interest on amount used calculated? Is it determined when we open the line or the interest at the time we use it?
How is it paid back? Are there common terms or is it individual? Is it repaid in 1 year, 5 years, 10? I have no idea.
If there is anything else that we need to know, but did not ask, please tell us or point to where we can find answeres.