Jessica D asked:


After selling my house I will probably still owe about $20,000 on my home equity loan. I have no problem making the payment each month and I would like to continue on under the same terms as I have now. I am afraid that if I sell the house the mortgage company will demand the $20,000 right then and there. Does anyone know if you can just keep on paying under the same terms as you took out the loan? I.e. I just keep paying the $400.00 a month until the loan is paid off?

GUILLERMO

Jules B asked:


Can I borrow out of my equity? Would it be a home equity loan or something else? Then when I sell my house, how would I pay off the mortgage and convert the equity loan into my new mortgage?

ROBBIE

LostKoss asked:


As I stated my wife and I own our home.It is in downtown Milwaukee in an area that is seeing a great deal of improvement.

The fair market value is 60,000 ,and we have a home equity loan
with about 16,000 left to pay,from siding and a new deck she had installed before we were married.

The house needs substantial work including a new roof and plumbing and most likely wiring too.

We would like to fix it up and sell the house to move closer to our jobs and get away from downtown.

My question is what would you do?

Spend the time and substantial money to fix the mess?
This would mean refinancing the existing equity loan to a much higher amount…with the possibility of improving the houses value.

Or, Sell the house and get what we can now and use the money to pay off the loan and get a new mortgage on a new house.

Does investing in massive repairs pay itself back in selling ?

We both have good jobs and no dependants, but our credit history is only so so . What should we do?

MITCH

WhoK asked:


We have 2 mortgages (1st & 2nd), my friend withdrew an other line of equity. What happens to the equity line loan if we sell this house short? Can we ask the bank to convert equity loan to personal loan and we continue to pay for it?
Sorry that I was not clear in the question. Basically, on this house, we have 3 loans: 1st mortgage with mortgage company A, 2nd mortgage with mortgage company B (we used 100% financing when bought this house), and the equity loan with a bank (3rd loan that my friend’ sister took out to do something else.)

Now we have problem with the first loan since it is ARM (we didn’t know when signing paper). The rate is reset, we start having problem to pay for it. We want to short sell the house, but not sure what to do with the 3rd loan: the equity loan. For the 1st / 2nd, we may have to pay the tax if the banks agree to let us short-sell the house and issue the 1099-C, but because the third loan (equity loan) is from another bank we are not sure if this bank agrees to release for us to sell the house or willing to renegotiate the loan for us to pay as personal loan.

ESTEBAN

Anthony P asked:


We have a home in NJ, we have a mortgage and a home equity loan, we have never missed a payment. We need to move and can’t sell our house while using an agent without losing money with thier commision. Is there any way to simply give the house to the bank to settle the debt and walk away without foreclosing?

FERNANDO