Getting out of Debt in Orange County
By AJ FanterLocal Lender Columnist
Mar 17, 2006
Looking to get out of debt? If you've got equity built up in your Orange County home, it's time to consider a debt consolidation loan.
Time for a Debt Consolidation Loan?
A debt consolidation loan is a single loan that allows you to pay off other loans. One of the most popular kinds of debt consolidation loans is a home equity loan, or second mortgage. Secured by the equity in your home, these loans feature a lower interest rate and in most cases the interest on these mortgages is tax deductible. However, with all the talk about the housing market slowing down, is this the right time to take out a home equity loan on your Orange County home?The Good News
Well, the answer may very well be yes. According to a recent report released by DataQuick Real Estate News, the median sale price of a home in Orange County in November 2005 was $616,000, a mere $1,000 shy of the record median home sale price. This represents a 13.9 percent gain over October and a 24 percent gain over the prior November. In other words, median home prices remain at near record highs. But the question is what will the coming year hold?The Forecast
While a nationwide slowdown in the increase of home prices is expected, for those living in the Golden State, the forecast remains optimistic. While it is unlikely that Orange County homeowners will experience the double-digit growth of the past few years, according to a recent report released by the California Building Industry Association, resale home prices are expected to advance between 5 and 8 percent in 2006, a figure most U.S. homeowners would envy.If you're considering making the most of the equity in your Orange County home, 2006 may be just the year to consider a debt consolidation loan.
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About the Author
AJ Fanter is a freelance writer based in Reno, NV.