During the holidays, it can be tempting to take out a HELOC withdrawal. Presents and parties can be expensive. But, don’t forget that every time you take out money from your home equity line you put your home at risk. If you’re not able to pay back the money withdrawn for holiday fun, you may [...] [...more]
HELOC freezes have been going on for months and, unfortunately, these suspensions are showing no signs of a slowdown. Recently, a new batch of HELOC customers have reported receiving HELOC freeze notices from their lenders. Washington Post reporter Elizabeth Razzi explains: “My inbox is overstuffed with comments and suggestions from readers… In response to last week’s column about [...] [...more]
If you take out a HELOC on your property, be aware that you may not be able to leverage your equity for additional loans. Naples Daily News reports: “The Small Business Administration (SBA) is alive and well. However, participating banks are returning to the basic tried and proven underwriting standards of an earlier generation. Startup businesses will [...] [...more]
When you sign your HELOC contract, you make a lot of promises to your lender. But, don’t forget that your lender has some obligations to you as well. Before putting your name on the dotted line, be sure to read all paperwork thoroughly. Your lender must also meet requirements included in the Federal Truth in Lending [...] [...more]
Fannie Mae and Freddie Mac won’t be perusing foreclosures during the holidays. Even those facing HELOC foreclosure are off the hook - at least for a few weeks. MarketWatch reports: “Fannie and Freddie will not foreclose on occupied homes from Nov. 26 to Jan. 9. Fannie said it will reach out to 10,000 affected borrowers and Freddie [...] [...more]
A massive HELOC fraud ring was recently shut down by the federal government, after millions in losses. Dark Reading reports: “Federal agencies said Monday they have arrested three members of an identity theft ring that has stolen more than $2.5 million by fraudulently accessing home equity lines of credit… HELOCs are an attractive target for criminals, because [...] [...more]
Not all home equity lines of credit are created equal. If you don’t choose carefully, you could end up paying unnecessary fees or being charged a huge markup. This article shows you how to watch out for common lender “tricks†and negotiate the best HELOC rates and terms. See: How to Negotiate the Best Home Equity [...] [...more]
Home equity borrowing has decreased sharply this quarter, with fewer borrowers taking out new lines or withdrawing from their current HELOCs. Forbes.com reports: “Mortgage equity withdrawal (MEW) is collapsing from the $700 billion annualized in 2005 to less than $20 billion in the second quarter of this year. Thus, with falling housing wealth and collapsing MEW, U.S. [...] [...more]
Times are tough, the market is bloated, and many people are ready to loose some financial weight. The Wall Street Journal recently published a list of “debt diets,” suggested for American consumers. One such diet is the home equity line of credit plan. They explain: “It’s like the Atkins high-protein diet: You can pay off your debt [...] [...more]
Is your home equity line of credit at risk for a line reduction or freeze? There’s a lot of factors that may come into play (your lender, your location, etc), but banks do have to meet legal obligations before taking away anyones home equity line. The Street recently published an article explaining the biggest risk factor: “A [...] [...more]
