Personal Finance
Home Equity
The net market value of a homeowner’s unencumbered interest in their real property, calculated as market value minus outstanding debt.
📚 Financial Knowledge Base
Financial Industry Glossary & Underwriting Guide
Master essential home mortgage, auto financing, interest rate, and underwriting terminology with interactive calculators, mathematical formulas, and practical lending guidelines.
Terms Starting With "H"
Showing 5 definitionsCredit & Underwriting
Hard Credit Inquiry
A formal credit check recorded on your credit report when a financial institution reviews your file to make a lending decision.
Mortgages
Hard Money Loan (Asset-Based Private Lending)
A short-term, high-interest real estate loan funded by private investors or funds and underwritten primarily on the collateral value (ARV) of the property rather than borrower credit.
Personal FinanceHELOC
Home Equity Line of Credit (HELOC)
A revolving, variable-rate second mortgage line of credit secured by home equity that allows homeowners to draw and repay funds on demand during an initial draw period.
Personal FinanceHELOAN
Home Equity Loan (HELOAN / Second Mortgage)
A closed-end, fixed-rate second mortgage that disburses a single upfront lump sum secured by home equity and is repaid via equal monthly payments over 5 to 30 years.