Posted on: 14th Jan, 2010 06:06 pm
I thought that if you have a piece of property that was paid for you could borrow money against it at a lower percentage rate?
What are your options for borrowing against a home that is paid for.
House worth $800,000
Looking to borrow- at max $300,000
What are your options for borrowing against a home that is paid for.
House worth $800,000
Looking to borrow- at max $300,000
Hi chrissie,
If your property is paid for, you can definitely use the equity in the property as collateral and get a loan against it. If the current value of your property is $800k and you intend to take about $300k, you should not have any problem. However, the property needs meet the required guidelines and you should also have sufficient credit scores and income to qualify for the loan. What are your credit scores? Do you have enough income to afford a mortgage of $300k? Do you have too much of debt obligations like credit cards, etc.?
If your property is paid for, you can definitely use the equity in the property as collateral and get a loan against it. If the current value of your property is $800k and you intend to take about $300k, you should not have any problem. However, the property needs meet the required guidelines and you should also have sufficient credit scores and income to qualify for the loan. What are your credit scores? Do you have enough income to afford a mortgage of $300k? Do you have too much of debt obligations like credit cards, etc.?