Home Equity Loan: The Temptation

Mortgage companies are trying to arouse your temptation to take a loan
on the equity you have built on your home whose value (if you are in
places like L.A. or Boston) skyrocketted in recent years and just spend it
through a vacation in Hawaii or having a new car or whatever
.... Sometimes it almost seems that all that will come free.

Fed will continue to increase the interest rate throughout the year and,
remember, unlike 30 year or 15 year mortgages, home equity loan is
usually tied up with that rate. So, if you spend that equity, after a few
months you may feel much more pain than the pain of not having a new
car or that dream vacation in Hawaii. Be sure. Having peaceful mind and
a daily normal life with your family or with your hobbies could also be
enjoyed as a great vacation that you can afford in easier ways.