Borrowing Against Your Home Equity

Borrowing against your home equity looks good on paper. But don't do so, unless it's a dire emergency, such as a medical emergency. It shouldn't be done as you'll be putting yourself more in debt. For if you were to want or need to sell your house, you'd not be making any profit and your mortgage lender will end up with the money you make off the sale.

Advertisement

By Terri from NV

Add your voice! Click below to comment. ThriftyFun is powered by your wisdom!

January 2, 20060 found this helpful

To say that your mortgage lender will end up with your profits, is a misnomer. Better to say that you must take responsibility for your loans, since you'll be forced pay them back before you get to count any possible profit from the sale.

Reply Was this helpful? Yes
By Linda (Guest Post)
June 27, 20080 found this helpful

You will receive any excess of the payoff of the mortgage when you sell your home. It doesn't all go to the lender. You may also get more for your home if you invest in upgrades and improvements with borrowed money.

Reply Was this helpful? Yes
June 18, 20120 found this helpful

I have problems with borrowing against your home for medical emergencies. If you have a large emergency and are laid up, you may not be able to pay the loan back and put your security at risk by losing your home.

Advertisement

At the very least, the doctor/hospital can put a lien on it, limiting your options. Better to sign forms an make monthly payments to the hospital/doctor on the bill.

Reply Was this helpful? Yes

Add your voice! Click below to comment. ThriftyFun is powered by your wisdom!

Advertisement

In This Page
Categories
Budget & Finance Home LoansDecember 22, 2005
Pages
More
😷
Coronavirus Tips
🐛
Pest Control
🌻
Gardening
📓
Back to School Ideas!
😎
Summer Ideas!
Facebook
Pinterest
YouTube
Instagram
Contests!
Newsletters
Ask a Question
Share a Post
Categories
Better LivingBudget & FinanceBusiness and LegalComputersConsumer AdviceCoronavirusCraftsEducationEntertainmentFood and RecipesHealth & BeautyHolidays and PartiesHome and GardenMake Your OwnOrganizingParentingPetsPhotosTravel and RecreationWeddings
Published by ThriftyFun.
Desktop Page | View Mobile
Disclaimer | Privacy Policy | Contact Us
Generated 2020-07-31 14:48:51 in 846 msecs. ⛅️️
© 1997-2020 by Cumuli, Inc. All Rights Reserved.
https://www.thriftyfun.com/tf44339931.tip.html