Having been a loan officer for the past 14 years, and an honest one at that, I have learned a few things about financing that most loan officers won’t tell you. Hmmm…maybe that is why I haven’t made as much money as I could have made as a loan officer…I am too honest with my borrowers about the pitfalls of borrowing and give my borrowers other alternatives, so I lose money. Some may call this bad business skills…but I call it loyalty to my borrowers that I care about.
Is there a time that financing is necessary? Absolutely! But buyer BEWARE!
Okay, so you want to buy your little house on the prairie. So now it is time to put your house, that you are currently living in on the market, right? WRONG!!!! Your realtor may want you to list it since they would like to make a hefty commission off of you. Your loan officer will want you to put your current home on the market, too, since they want part of your equity. But you are going to be smart on this deal, why? Because it is to your GREAT advantage.
What are you going to do instead?
[list margin_top=”0″ margin_bottom=”0″ icon_bg_color=”#” icon_bg_hover=”#” square_bg_radius=”0″ icon_size=”16″ icon=”fa-icon-money” icon_color=”#4d7250″ icon_color_hover=”#”]You are going to use your current home as collateral for your new HECL,You are going to rent out your current home and let your tenants pay for your new purchase,Once your new loan is paid off…you are going to continue to rent out the home for as long as you and your heirs shall live[/list]
In the next parts of this series, we will look into some details of the points above.
- Moving our 33 Foot Trailer up our Narrow Steep Mountain Road - July 26, 2016
- The Snowmobile Adventure - April 26, 2016
- Homestead Laundry Day – Not According to Plan - October 1, 2015
- My Little Country Store - September 12, 2015
- How To Propagate Willows from Cut Off Branches - August 21, 2014
- Stinging Nettles, Arthritis, and Strawberries - August 14, 2014