For Morris County homeowners who want to borrow against the home they own: a line of credit or a home equity loan behind the mortgage you keep, a cash-out refinance in place of it, and how the amount is worked out. Fidelity Residential is a direct, licensed mortgage lender with a New Jersey office on Route 36 in West Long Branch, in Monmouth County, and we lend across New Jersey.
Pick the closest, or call and talk it through.
Fidelity Residential · NMLS #103098 · Equal Housing Lender
The Census Bureau’s American Community Survey counts about 514,500 residents in Morris County and about 199,500 homes, in its estimates for 2020 to 2024. About three occupied homes in four, an estimated 74.3 percent, are lived in by their owners.
Of about 143,600 owner-occupied homes, an estimated 64.5 percent, about 92,600, have a mortgage, and 35.5 percent, about 51,000, have none. The estimated median value of owner-occupied homes is about $582,500.
Fidelity Residential is a direct mortgage lender licensed in New Jersey under a Residential Mortgage Lender License. Our office is at 121 NJ-36, Suite 230, West Long Branch, in Monmouth County; we do not have an office in Morris County, and we lend across New Jersey.
Source: US Census Bureau, American Community Survey 5-year estimates, 2020 to 2024. Estimates, not counts.
Both are secured by your home and sit behind your first mortgage, which stays exactly as it is.
A revolving line, with a limit set from the equity in your home. During the draw period you draw what you need, repay and draw again, and the required payment covers the interest on what you have drawn. Then a repayment period begins. The rate is variable and moves with a published index, so the payment can change.
HELOCs and home equity loans in New JerseyThe whole amount at closing, repaid in equal monthly payments at a rate that does not change, over a term set at the start. The cash can be used for any purpose; programs ask for a short explanation of what it is for.
Fixed-rate second mortgagesWhich one suits depends on the cost. Work paid in stages, such as a renovation, fits a line you draw on as you go; a known cost, such as a project with a fixed price or debts to combine, fits one lump sum with a set payment.
The amount comes from your equity. The lender looks at what the home is worth, what is owed on it, your credit and your income, within each program’s limit on the share of the home’s value that all loans against it may reach.
If you own the home outright, a line can be in first position. A line or a loan can also be opened at the same closing as a new first mortgage on a purchase or refinance.
A cash-out refinance replaces your mortgage with one new, larger loan and pays you the difference at closing; the new loan is limited to a share of the home’s current value, so some equity stays in the home. If your first mortgage has terms you want to keep, a line or a home equity loan leaves it in place. See cash-out refinances.
Fees. Fees exist on some lines; your closing documents list them before you commit, so you can compare a line with a home equity loan or a cash-out refinance.
Taxes. The IRS says interest on home equity loans and lines of credit is deductible only if the money is used to buy, build or substantially improve the home that secures the loan. Whether that applies to you is a question for your tax adviser.
The home is the security. If you fall behind or cannot repay on schedule, you could lose your home. Borrow for a purpose you have thought through, with a payment you can carry.
Yes. Fidelity Residential is a dba of PFN Lending Group, Inc. (NMLS #103098), which holds a New Jersey Residential Mortgage Lender License, and we lend across New Jersey. You can check the licence on NMLS Consumer Access (opens in a new tab).
No. Our office is at 121 NJ-36, Suite 230, West Long Branch, NJ 07764, in Monmouth County. Call 732-686-9999 to talk with a licensed loan officer.
No. A line of credit or a home equity loan sits behind your existing first mortgage, which stays exactly as it is.
A HELOC suits costs that come in stages: you draw what you need, pay interest on what you have drawn during the draw period, and the rate is variable. A home equity loan suits a known cost: one lump sum at closing, with equal monthly payments at a rate that does not change. A loan officer can compare both for your plans.
You can no longer draw, and the balance is repaid with interest over the remaining years, so the payment changes again. Plan for that later payment, not the interest-only one.
Not always. Smaller lines and loans may need an automated valuation, with a property inspection on a home equity loan. Larger ones, lines in first position and lines opened at the same closing as a new first mortgage get a full appraisal.
Get a quote online, or call us and talk it through with a licensed loan officer.
This page is general information, not a commitment to lend. Programs, terms and eligibility depend on credit, income, property and underwriting review and are subject to change without notice.
Reviewed by Robert Shamie, CEO, NMLS #241428 · Last reviewed:
Fidelity Residential (PFN Lending Group, Inc., NMLS #103098) is a direct mortgage lender licensed in 40 states and the District of Columbia, with 26 years in business.