 TITLE: What Is a Second Mortgage? CONTENT: Why a Second Mortgage Might Be Risky\n------------------------------------\nWhile the borrowing terms on second mortgages are fairly reasonable, they can represent a significant monthly expense: Interest rates on home equity installment loans vary from market to market and lender to lender, but national rates currently range from just under 3% to 11%, and HELOC rates range from about 3.5% to 13%. Origination fees on home equity installment loans, which are negotiable and can often be rolled into monthly payments, range from 2% to 5% of the loan amount.\nThe biggest downside to a second mortgage is the possibility of losing your home in the event you can't make your payments. If you're concerned that you may be unable to juggle both mortgages, it would probably be wise to look into other financing options or, worst case, sell the home and trade for a more affordable housing option. END