Localfund.com - All about Fund and Investment
*Home>>>Equity Investment

Home equity loans used as investment?


We are little naive about finance...duh...we have about 300k in
equity in our home and wondered when you release that equity to say buy a holiday/investment property...are you essentially upping your mortgage by that amount?so you actually are paying double maybe triple the repayments....pls explain

HEL is a second mortgage. The interest rate is normally higher than what you would get on first mortgage. Since you have two loans to pay you the payment will go up. Exact amount is unknown due to interest rate, credit score, and income.
Contact your local bank to get an estimate.

dont do it untill the market is strong .

The only ways to "release the equity" in your home is by (1) selling it or (2) taking out a loan. If you do the latter, yes, you are in effect "upping your mortgage" by that amount. If you do it via a home equity loan (second mortgage), the interest rate will probably be higher and the term shorter than a first mortgage.

Tags
  Fidelity Investment   Fidelity Fund   Exchange Traded Funds   Equity Investment   E-gold   Ebullion   Easy Money   Easy Investing
Related information
  • Can a partners return on equity be used by each partner to help decide whether additional investment or withdr

    Of course.One of the reasons they invested in the first place was for a return. So the rate of return is key on deciding whether to reinvest more money or pullout of the investment. Good question.<...

  • I am an investment analyst and I want to join a Private Equity firm. What skills do I need? How do I join one?

    Check with the Securities and Exchange Commission for the legal requirements. In terms of skills, your investment knowledge and commercial operations on specific industries will be a definite plus....

  • Equity schemes from SBI. I am a fresh starter in investment and want to invest in any mutual funds.?

    I am certified mutual fund distributor in SBI. many people got a huge profit from SBI mutual fund. the important thing is to invest and not speculate in mutual funds the mutual funds objectiv...

  • 1.what is the difference between systematic investment plan and equity linked savings scheme?

    no idea sorry

    ...
  • Equity and Portfolio Management Master, looking for advice in investment banking, rating agency.?

    Try morningstar.com good luck.

    ...
  • Can anyone generate a Porter Model and SWOT analysis for an investment / private equity firm?

    Use the SCP Model for the Industry analysis: Moderate bargaining power for suppliers and strong bargaining power for buyers. Financial institutions are fragmented yet competitive in nature, which p...

  • Pl. suggest good investment in equity?

    RPL site www.moneycontrol.com create a Login and go to messages section for tips. Free of course !

    ...
  • What is an investment in "tax equity"?

    You can also find the definitions of many investment and financial terms by going to ...

  •  

    Categories--Copyright/IP Policy--Contact Webmaster