Home Equity Loans – second mortgage

motormank asked:


My husband and I need to lower our monthly payments. We have no debt except a line of credit for $60,000 with the payment of $410 and two car loans both adding up to about $25,000 and the combined payment of $1050/mo. So, we are spending about $1400/month for these 3 things. If we got a loan for $110,000 and payed all these off, our payment at 6.6% would be around $700/month. Of course I would always pay more than that per month which would go to principle. Why isn’t this a good thing to do? I realize that getting a new car would add to our payments once again. So, that would not be smart. Other than that, is this a smart thing to do? It seems like it is, but then why don’t more people do this?

John

mrclam1212 asked:


Say someone wanted a 30K Home Equity Loan and they had 200K in equity in their home. Would they get the loan everytime regardless of credit score and other factors?

Lawrence

lilmisssassy_48125 asked:


I already own a home but am looking into buying another just for the property. It’s very cheap but needs lot of repairs and would just tear it down. I am also in quite a bit of credit card debt. Is there anyway to get a second mortgage and wrap up my debt in the equity of that property?
When the time is right I plan on selling my current home and building on this property. I just would like to snatch it up cuz it’s about 60% cheaper than any other property in my area.

DONNY

babygrldog asked:


Is the higher rate of interest charged by the lender the only reason for them to do a second mortgage?Why would the lenders lend more money than the property is appraised for?

MICHEL

Luvinmylife2 asked:


I have excellent credit and zero debt. My house is paid for, debt free, and I do not have any outstanding debt. I have had loans in the past, but I’ve paid them off. Therefore, I do not have a credit score. I want to tap into the equity on my house and take out a second mortgage on my home, but the bank says that I do not have a credit score. Does anyone have any ideas on how I can get a competitive rate with no score?

RIGOBERTO

Dan asked:


We have a mortgage in Canada but are permanent residence is now in the United States. The home has been a second home/vacation home but we are now wanting to purchase a new home in the US. My mom is going to take over our payments in Canada and live in the house. When we apply for a mortgage do we have to report the mortgage payment in Canada as we won’t have a monthly debt but we do have alot of equity that contributes to our net worth. We are worried we won’t get approved because it will hurt our debt ratio. I was told that because it won’t show on a US credit report and the debt is another country we don’t have to report it but our income tax returns shows the mortgage. Any advise greatly appreciated

ARCHIE

Due 3/7/2010 asked:


Can I get a second mortage if I don’t have any equity in my home?

JOEY

da_red12 asked:


I am currently in Chapter 13. I filed 10/04. I have a home with approx 100K in equity. I would like to pay my way out of BK at the 36 month mark (approx 16K) , pay off the second mortgage (which was down payment assistance, $7450) and pay off some of my student loans. Which will be better refinancing or HELOC? Will I even qualify for a HELOC while in BK? All responses will be appreciated

ALEXANDER

everafter325 asked:


My husband and I bought a small house two years ago and now we have our daughter and it is just too small. We would like to add on to the back and add a second story. We have about $6,000 in equity so a home equity loan is out of the question. Is a second mortgage a possibility? Are there any other loans that I should be looking into?

Thanks!

MARVIN

Treva M asked:


We lost our home and everything to Katrina. The insurance did not pay, the first mortgage was satisfied by the sell of our land. the second mortgage home equity line of credit charged off our loan without us knowing. They will not work with us at all they want payment including 23,000 in interest. We have been told that even if they would agree to a lesser payment the charge off would still be on our credit? We dont have the house or land anymore Or means to pay.. What can they do if we dont pay, and if we did pay how will it effect our credit? Could they lean the place we are living now?

HOWARD