wendyinoc_IHB
New member
My friend got a letter yesterday saying they are suspending their equityline. The reason was due to lowering house value. I told her a few months back take what you need so they were to late. So they really can do this?
Equity Lines
- Thread starter wendyinoc_IHB
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NEW -> Contingent Buyer Assistance Program
mino2126_IHB
New member
Sure why couldn't they? It's nothing more than a c/c that is backed by the value of your home....they raise interest rates and lower them all the time on c/c.
interloper_IHB
New member
This is common practice right now and your friend is not alone. The banks are trying to stop people from overborrowing.
biscuitninja_IHB
New member
You should never use your house as a bank account. Yes they can do that, unless you OWN the house you have less of a case for borrowing against the equity and in the end, it is still a CC type equity loan. Anyways good luck
-bix
-bix
Anonymous_IHB
New member
INteresting link from ex-Tangelohttp://www.irvinehousingblog.com/2008/01/16/shelter/#comment-47944 on the http://www.irvinehousingblog.com/2008/01/16/shelter/#comment-48160 thread
Lenders Rethink Home-Equity Loans
ttp://online.wsj.com/article/SB120044716100193017.html?mod=homes_left_column_hs
Lenders Rethink Home-Equity Loans
ttp://online.wsj.com/article/SB120044716100193017.html?mod=homes_left_column_hs
lendingmaestro_IHB
New member
1.) existing lines of credit are being reduced, sometimes down to the amount the borrower owes.
2.) The Prime rate has dropped and will continue to drop. BUT. Banks are raising their margins rapidly as well as lowering LTV requirements.
3.) No more stated income HELOC's. Most people who need HELOC's are people who need stated income anyways.
2.) The Prime rate has dropped and will continue to drop. BUT. Banks are raising their margins rapidly as well as lowering LTV requirements.
3.) No more stated income HELOC's. Most people who need HELOC's are people who need stated income anyways.