HOME EQUITY is used to meet your financial needs. Be it home renovation, medical bills, education fee or investment in property. You can get the money out of your house whenever you need it. Make sure you do not get high interest debts. Always go for the option that allows you save tax.
A general rule is applied when it comes to borrowing. You are offered 70-80% of the value of your home.

This is calculated against the value of your home in fair market minus any existing mortgage. The ratio is called loan-to-value (LTV). There are lenders who allow you to borrow up to 125% of the value of your home. Here one should note that in the event you make a move because of a job change or any other reason, even if you sell your home it would not provide you enough money to pay of the mortgage and the outstanding equity loan. It should be decided very carefully.
 When you calculate the mortgage online always keep in mind that the stated APR is only for sample and it would not exactly indicate the APR you will receive when you go to borrow. This is because it does not include the points, required fees and other applicable instruments like closing cost which you may be required to pay on the loan. The payment will definitely increase if the borrower finances all of such costs as it would increase the APR. On the top of it all loans are subject to approval, further verification and of course collateral evaluation.
The loans offered are always subject to approval and verification. Initially it is subject to your meeting specific conditions and requirements and the approval will depend on your satisfying the same. All loans are originated by the lender and are subject to change sometimes without notice. It also depends on the state laws in which your property lies.
While calculating the amount you want to borrow consider the time frame that you may take to repay the loan amount. If you want to use the fund for setting up of an emergency savings fund or to buy furniture or car or for vacation, it should be a short term loan. If you want to save money for a down payment for a home or planning to invest in a business make it a medium term. Long terms should be chosen when it comes to children’s college fund or saving for retirement.
 Last but not the least; who are you going to borrow from? This is the question which would require detail research of the market and a serious home work. Once you have done both and have jotted down your need vs. your ability to pay back, the purpose vs. the interest you are ready to pay, you are all set. Go ahead.