A Smarter Way to Finance | Line of Credit vs. Fixed Rate Mortgage
FIXED RATE VS. LINE OF CREDIT
●   ●   ●

A Smarter Way
to Finance

$500,000 Line of Credit
7% Average Rate
$2,000/mo Discretionary Income
$500,000 Mortgage
3.5% Fixed Rate
30-Year Amortization
Line of Credit Payoff
~13 Years
30-Year Mortgage
30 Years
Remaining Principal Balance Over Time
Line of Credit 30-Yr Fixed

A 3.5% Fixed Rate STILL costs over $308,000 in interest over 30 years!

RE-Allocate your assets to save tens of thousands or possibly more than $100,000 in interest!

HOW DOES THE LINE OF CREDIT WORK
01
ONLY Mortgage Product that pays principal first
05
30 Year Draw
02
Utilizes assets to reduce mortgage balance aggressively
06
No Balloon Payment Required
03
As interest costs reduce, monthly discretionary deposits increase
07
Never need to refinance in future
04
Access to assets via debit card, check, online
08
Line of Credit is in first position, one mortgage (not a 2nd)

 

Discover how combining your banking with your mortgage can build equity faster!

RUN YOUR NUMBERS

Equity Advancer Loan Calculator
Custom Mortgage Management
Interest Calculation: (Margin + Index) / 365 × 30 days
Principal reduction = (Income + Deposits − Expenses − Interest) applied to the beginning balance
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LTV —≤ 80%
Fetching SOFR rate…
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* Calculations assume interest accrues daily at the rate shown (Margin + SOFR Index). Net monthly principal reduction = Income − Expenses − Interest. All figures are estimates for illustrative purposes only; actual results may vary.
Fixed Discretionary Income calculation is based on Month 1 discretionary income and does not increase monthly deposits as interest costs are reduced over time.

The index used is the SOFR Index which can be found here: Secured Overnight Financing Rate (SOFR) | FRED | St. Louis Fed
"The SOFR rate is updated automatically each day."

Calculations are based on the interest rate shown above and assume interest accrues daily at that rate. All figures are estimates for illustrative purposes only; actual results may vary.

ALL MORTGAGE PRODUCTS AVAILBLE

Agency Loans

Loans securitized by Fannie / Freddie

Government Backed Loans

FHA | VA | USDA | 203(k) | 203(h)

JUMBO Loans

Loans larger than conforming loan limit. (Varies by County Nationwide)

100% Doctor Loans

100% Financing for MDs without Private Mortgage Insurance

New Construction Loans

Loan for financing the construction of a new home

Fix & Flip Loans

Short-term loan for buying, renovating, selling

Renovation Loans

Loan for home purchase and renovation costs

DSCR

Debt Service Coverage Ratio

Bank Statement Loans

Loan approved using bank deposits in lieu of tax returns

Stated Income Loans

Loan based on declared, unverified borrower income

No Income Loans

Loan without verifying borrower's income documents

Hard Money Loans

Asset-backed, short-term, high-interest loan

40 Year Loans

Loans amortized over 40 years offering a lower monthly payment

Interest Only Loans

Loans with the option of paying interest-only for a set period before becoming an amortized loan.

Foreign National Loans

Loan for non-U.S. citizens buying U.S. property.

ITIN Loans

Loans for people with an ITIN and not a SS Number

Lot and Land Loans

Loans for purchasing vacant land or undeveloped property.

Farm | Ranch Loans

Loan for purchasing or improving agricultural property, including farmland, ranches, or livestock operations.

DPA Loans

Down Payment Assistant Loans

Bridge Loans

Utilizing the equity in one home as collateral to secure financing for a new home

Non-Warrantable Condo

Condos that do not meet Agency underwriting standards

Condotel

Loans for Condos that are required to be hotel operated

Barndominium Loans

Loan for building or buying a barndominium-style home.

Asset Depletion Loans

Loan using assets to qualify borrower by calculating assets to make payments for a set period of time.

Piggy Back Purchase Loans

Two loans used together to avoid PMI and finance a home with smaller down payment (First and Second Mortgage)

Reverse

Loan for seniors to convert home equity into cash and loan is repaid when home is sold.

Church Loans

Loan for church property purchase or renovation.

420 Income Loans

Loans where income is derived from the marijuana industry

Manufactured Housing Loans

Loan for purchasing or refinancing factory-built homes, like mobile or modular housing units.

First Time Home Buyer

For First Time Home Buyers

SBA Loans

Small Business Administration Loans

Commercial Loans

Loan for business purposes, including property, equipment, or working capital funding.

HELOC

Home Equity Line of Credit.