Lenders that offer 125% home equity loans allow you to borrow the full
amount of the equity you have in your home, plus an additional 25%.
For example, if you have $10,000 of equity in your home, and you take
out a 125% home equity mortgage, you would be able to borrow $12,500
on your home. This is beneficial for home owners who do not have a lot
of equity in their home but want to borrow money to make home
improvements. If you are considering taking out a 125% home equity
loan, there are some things you need to know.
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