<prompt> Human: My mom has become friends with a banker and the banker has suggested that my parents get a home equity loan to pay for my house instead of having me get a mortgage. Could someone help to break down the pros and cons of a home equity loan vs a mortgage and things to look out for? I fear there may be some conflict of interests, I assume the banker would get some sort of commission. Im still in the searching phase but my mortgage preapproval is more than enough for the homes Im looking at so loan amount is not an issue.  <response>: Family and finances generally dont mix well. Being unable to make a house payment is bad enough, do you want your parents to be angry with you if that happens because they now dont have the funds from you to repay their HELOC loan? Are you comfortable with them scrutinizing your spending if you are late? What if they decide regardless of what type of agreement you have with them, written or otherwise that theyd like the debt paid off sooner than originally planned, and pressure you constantly at family functions to make extra payments? A lot of people say that would never happen, but finances stress relationships like nothing else, and there are plenty of examples on this sub of family relationships being destroyed by smaller loans than this. Proceed with caution, and I would not proceed at all. 