[quote=earlyretirement][quote=The-Shoveler]Hmmm I mean I wonder it they could call the loan if the portfolio assets price falls ?
In some respects this does look like a margin loan,

Seems complex maybe too complex.[/quote]

And what happens if the value of the assets were to have a sudden fall? With a margin account you get a margin call but how would it work here?[/quote]

If they could not call the loan as long as you were making payments, then not too bad.

Other wise I see a trap (first impression anyway).

Sorry, Currently it is possible for banks to call the mortgage home loans in certain cases (basically, pay off the loan now or we foreclose), there is always fine print on these loans, ie.. must occupy home a certain amount of time etc…