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+--- Thread: Is thus true about US housing mortgage loans? (/Thread-Is-thus-true-about-US-housing-mortgage-loans)
Is thus true about US housing mortgage loans? - sgbuffett - 18-05-2022
This is explain by Rauol Pal a fund manager.
If your house price fall below your outstanding loan you can just walk away by letting bank take over the house and bank cannot go after you to recover remaining debt
https://youtu.be/Cl4JwOmK4sA?t=180s
RE: Is thus true about US housing mortgage loans? - theold - 18-05-2022
Of course.
RE: Is thus true about US housing mortgage loans? - singlon - 18-05-2022
Debt Money it gets confusing
There is no confusion.
when u borrow 'money' to buy a car for ex
u should ask 'where the money'
it seems the money is in the computer
further u begin to realise the seat-belt is to protect the car.
Mortgage market now 9% after 0.25% and 0.5% raises
singlon cannot compute only the tualengkong can
![[Image: Screenshot-from-2022-05-18-08-54-32.png]](https://i.ibb.co/F07jbV5/Screenshot-from-2022-05-18-08-54-32.png)
NB 20% was when Paul Volcker killed Inflation. Historical.
RE: Is thus true about US housing mortgage loans? - revealer - 18-05-2022
(18-05-2022, 08:40 AM)sgbuffett Wrote: This is explain by Rauol Pal a fund manager.
If your house price fall below your outstanding loan you can just walk away by letting bank take over the house and bank cannot go after you to recover remaining debt
https://youtu.be/Cl4JwOmK4sA?t=180s
It will depend on the mortgage agreement. Some banks like Fannie Mae and Freddie Mac, the two big government-controlled housing finance companies as well as other mortgage players, will press borrowers to pay whatever they still owe on mortgages they defaulted.
https://www.cnbc.com/2014/10/14/americans-face-post-foreclosure-hell-as-wages-garnished-assets-seized.html
In the US, most would worry that they would end up with a record in the National Credit Report if they default on a loan or mortgage. Understand one would have difficulty living in the US with a bad credit report.
https://www.investopedia.com/terms/c/creditreport.asp
RE: Is thus true about US housing mortgage loans? - theold - 18-05-2022
Last time. You can take a loan to buy a property. No money for renovation, you can also take a loan. You can also take up a home insurance. Also have Home Equity Loan(2nd loan on the same property). There was once, during the crisis, the property can be USD20K and USD25K each.
Can't pay, you need to walk out.
The yield is very high. You need to get the rental certificate to rent out your property. However, the tenant can sue you for not providing proper maintenance to the property. It is about location and distance.