If you can (1) pay off the HELOC at any time and (2) are a disciplined person; there is no issue with getting a HELOC. It is a credit extended to you that you DONT HAVE TO USE AT ALL if you don't want to (think of it as a credit card). There might be some associated fees (pre-payment or annual), but they are usually waived or minimal. Some banks even offer great initial rates for the first year.
However, the interest is usually variable, so it can spike up at any time; it all depends on the prime set at the federal level. IF you have the funds to immediately pay it off than it doesn't really matter. You can also get a fixed rate HELOC, but I wouldn't for short term borrowing since their rates are higher
Absolutely open a HELOC. Assuming you have good financial discipline and not buy a bunch of crap you don't need. Just make sure you shop around for low/no fee offers.
I opened a $100K HELOC a few years back and it's been great for us. I've only had to use it once and paid it back within six months, but it's WAY cheaper than credit card interest and very easy to use.
However, like PP said, you need to be disciplined. Just because it's there doesn't mean you need to USE it!!!
If you can (1) pay off the HELOC at any time and (2) are a disciplined person; there is no issue with getting a HELOC. It is a credit extended to you that you DONT HAVE TO USE AT ALL if you don't want to (think of it as a credit card). There might be some associated fees (pre-payment or annual), but they are usually waived or minimal. Some banks even offer great initial rates for the first year. However, the interest is usually variable, so it can spike up at any time; it all depends on the prime set at the federal level. IF you have the funds to immediately pay it off than it doesn't really matter. You can also get a fixed rate HELOC, but I wouldn't for short term borrowing since their rates are higher
Absolutely open a HELOC. Assuming you have good financial discipline and not buy a bunch of crap you don't need. Just make sure you shop around for low/no fee offers.
I opened a $100K HELOC a few years back and it's been great for us. I've only had to use it once and paid it back within six months, but it's WAY cheaper than credit card interest and very easy to use. However, like PP said, you need to be disciplined. Just because it's there doesn't mean you need to USE it!!!