Our Best Investment

Home Equity Line is an

Excellent Stress Reliever

By Norman Thompson, CEO

Neighbors Federal Credit Union


Buying a home is one of the very best investments we can make! Today’s lending practices make it possible for nearly anyone with a steady job and a clean credit history to begin making monthly payments on a home of his or her own.

The best news is that almost immediately the bottom line on a new homeowner’s financial statement begins to grow as: (1) regular monthly payments reduce the debt on the house; (2) the city or area surrounding the home grows; and (3) the homeowner spends weekends steadily improving his or her property. All of this increases the value of the home and builds “homeowner’s equity” which operates just like a tax-free savings account until the home is sold.

The difference between what your home will sell for and how much you owe on your home is your equity. Home equity is a wonderful thing to have in a pinch or whenever opportunity knocks.

For example, if you got a little carried away last Christmas and your credit card payments (at typically high credit card interest rates) are becoming burdensome, you can set up a home equity line of credit in minutes and regain control of your finances. Or say you want to begin home improvements such as a new kitchen or bath, finance a college education or pay for a wedding, your equity in your home can give you the money you need. Best of all, the interest on the loan might even be tax deductible – your tax advisor can tell you more.

The limit on a home equity line of credit is determined by the amount of equity you have in your home. Tapping into your credit line is as easy as calling or visiting online. You can draw on your line of credit whenever you need it throughout the term of the agreement.

Your home can be much more than a place to live. It can also be a flexible financial tool and a stress reliever in time of trouble. A home equity line of credit can be a smart way to make your hard work pay off, while at the same time making it possible for you to enjoy a better quality of life.