Trying to tap into home equity? We’ll see……………..

[Ex-SD]

Countrywide and others tell thousands of homeowners that they can no longer borrow against their credit lines as the companies tighten standards.
By Kathy M. Kristof and E. Scott Reckard, Los Angeles Times Staff Writers

“A lot of people are in that situation right now because they just kept refinancing and took out all the equity in their homes,” said Teresa Becerra, a senior real estate loan officer at Cityside.

“They’ll have a couple of mortgages they want to combine now. But we can do a computer appraisal right away, and what they’re finding out is that the value just isn’t there.”

AND A WHOLE LOT MORE IN THIS ARTICLE:

http://www.latimes.com/business/la-fi-loans1feb01,0,6255734.story

[EconProf]

BobS

[EconProf]

BobS

[EconProf]

BobS

[EconProf]

BobS

[EconProf]

BobS

[EconProf]

BobS
Interesting development.
What should those of us do who were planning to tap into our HELOCs…take the money out in advance? Assuming the bank would be less likely or less able to reduce the HELOC once the money was borrowed, perhaps we should preempt them…stick the money into t-bills or something while waiting.
I have a big chunk of unused HELOC I was hoping to borrow once the market bottomed. Anyone else in this situation?

[EconProf]

BobS
Interesting development.
What should those of us do who were planning to tap into our HELOCs…take the money out in advance? Assuming the bank would be less likely or less able to reduce the HELOC once the money was borrowed, perhaps we should preempt them…stick the money into t-bills or something while waiting.
I have a big chunk of unused HELOC I was hoping to borrow once the market bottomed. Anyone else in this situation?

[EconProf]

BobS
Interesting development.
What should those of us do who were planning to tap into our HELOCs…take the money out in advance? Assuming the bank would be less likely or less able to reduce the HELOC once the money was borrowed, perhaps we should preempt them…stick the money into t-bills or something while waiting.
I have a big chunk of unused HELOC I was hoping to borrow once the market bottomed. Anyone else in this situation?

[EconProf]

BobS
Interesting development.
What should those of us do who were planning to tap into our HELOCs…take the money out in advance? Assuming the bank would be less likely or less able to reduce the HELOC once the money was borrowed, perhaps we should preempt them…stick the money into t-bills or something while waiting.
I have a big chunk of unused HELOC I was hoping to borrow once the market bottomed. Anyone else in this situation?

[EconProf]

BobS
Interesting development.
What should those of us do who were planning to tap into our HELOCs…take the money out in advance? Assuming the bank would be less likely or less able to reduce the HELOC once the money was borrowed, perhaps we should preempt them…stick the money into t-bills or something while waiting.
I have a big chunk of unused HELOC I was hoping to borrow once the market bottomed. Anyone else in this situation?

[Eugene]

Check your HELOC documents. IIRC the bank may require you to pay off the HELOC if your equity falls below certain level.

[Eugene]

Check your HELOC documents. IIRC the bank may require you to pay off the HELOC if your equity falls below certain level.

[Eugene]

Check your HELOC documents. IIRC the bank may require you to pay off the HELOC if your equity falls below certain level.

[Eugene]

Check your HELOC documents. IIRC the bank may require you to pay off the HELOC if your equity falls below certain level.

[Author]

Posts