1. Set your amount
Start with a clear purpose and a real number. For a remodel, get contractor bids. For debt payoff, pull current payoff statements. Add a modest cushion for surprises, but borrow what you need, not the most you can get. CapCenter home equity loans run from $50,000 to $250,000.
2. Estimate your equity
Take your home's estimated value and subtract what you owe on your mortgage and any other liens. That's your equity. Lenders let you borrow only part of it. The maximum depends on the loan type and purpose, and a loan consultant can tell you yours. Your final amount also depends on your home's value, your credit, your income and other factors.
3. Check eligibility basics
A few rules apply to CapCenter home equity loans. Check them early so there are no surprises. If your home doesn't fit, a loan consultant can talk through other options, such as a cash-out refinance, where available.
- The home is a single-family primary residence or second home. Condos, investment properties, 2–4 unit homes and manufactured homes don't qualify for a CapCenter home equity loan.
- Your first mortgage has been in place for at least six months before closing.
- The home hasn't been listed for sale in the six months before you apply.
- Your first mortgage isn't a HELOC or reverse mortgage, isn't interest-only and isn't in forbearance or deferment.
4. Check your credit
Pull your credit reports and fix any errors before you apply. You need a credit score of at least 620 for a CapCenter loan, and higher scores can unlock better rates. Paying down card balances before your statement closes can help.
5. Compare your options and get a quote
A home equity loan keeps your first mortgage and adds a second, fixed-rate loan. A cash-out refinance replaces your mortgage with one larger loan. If your current rate is lower than today's rates, a home equity loan often makes more sense, because you keep that rate on most of what you owe. Get a quote to see your estimated rate and payment.
6. Gather your documents
Your loan consultant will send a list. It usually includes:
- Recent pay stubs and W-2s, or tax returns if you're self-employed
- Bank and asset statements
- Your current mortgage statement
- Your homeowners insurance information
- Statements for any debts you plan to pay off
7. Apply, lock, value and underwriting
After you apply, a loan consultant will contact you to discuss terms. Lock your rate once you're happy with them. An appraisal isn't required in most cases; CapCenter typically uses automated valuation models to estimate the value. Then underwriting verifies your information. Quick replies to questions keep things moving.
8. Review and sign
Before closing, compare your final terms with your Loan Estimate and ask about anything that changed. Then sign your closing documents. CapCenter home equity loans come with ZERO Closing Costs (restrictions apply).
