Replace Your Mortgage with a heloc

[Danny E Wyatt]

Saw ad for Replace Your Mortgage 

Its done with a heloc, supposedly pay off in 5 to 7 years. Anyone know if this works?

[Ashish Acharya]

@Danny E Wyatt , 

HELOC interest will generally higher than your mortgage. Would you refinance your current loan with a higher interest loan?

Someone asked the same question before. Rather than taking out HELCO at higher interest and paying off the mortgage, and then paying off the HELOC in 5/7 years, why dont you pay off your mortgage in 5/7 years? You would pay less interest for 5/7 years on your original loan rather than HELCO. And there are other costs associated with HELOC.

HELOC should be used if you are going to earn more return on your loan than you are paying in the interest.

Hope that makes sense.