Homeowners May Face “HELOC Shock”


Many homeowners opened home equity lines of credit, or HELOCs as they are popularly known, during the 2004-2007 lending boom.  Those that have been paying interest-only since then may be facing financial shock as their reset date approaches and they will be forced to bring their balance down to zero.

Repaying Home Equity Loans by Lisa Prevost – NYT Real Estate Section, February 9, 2014