Home Equity Loan

What is the legal limit of interest that can be charged on a home equity loan in the state of California?

Home Loan and equity loan? How does it work when a house is already paid off? My mom has a home that she bought in 1997. She bought it for 81K and now it is worth about 350K. (It was built in 1991 and we are in southern California.) She paid off the house back in 2004-just after her husband died she collected the 100K from the life insurnace policy. She is making about $8.60 an hour-full time-and now she will be bringing home less since her employer is going to take out about $50 a month for health benefits. She only made around 17K last year. She is about 4 or 5K in credit card debt. Since her husband passed in 2004, she has paid down the credit card debt a lot from 7 or 8K - (most of the money came from the left over amount after paying the house off) but she is still struggling to pay all of her bills. If my parents had not had the life insurance + if my mom had to pay the mortagage ($800.00 month) we would be living on the street now. There is no way she could afford that on her income. Is it worth it getting a home loan for 5K or 6K? My mom has the '99 truck (it was dad's) and it is running and that truck is paid off. Her car a '99-not running is also paid off. I already asked her if she wanted to rent the room out-she would rather not with her 3 little doggies. They would bark too much. I thought that interest payments would be lower than credit cards. She is paying 22% of one of her credit cards. that is crazy! I will show this to her tomorrow. Thank you all! If I could I would give you all best answer!

Does anyone know if a home equity line of credit is a recourse or a non-recourse loan in california?

home equity loan vs. line of credit?? here's the stats: 611 credit score $3,400 a month income (but it's under the table and goes up or down sometimes) my banking deposits are not the same every month, but it always shows that some kind of deposits are made never paid a bill late score is lower due to high debt own my home "free and clear," and it appraised for $570,000 in california about... 3 to 4 months ago... i want to take out, like less than $160,000.. i need at least $100,000 to pay off all my student loans, car, credit cards, etc. but would like more to get one of my cars fixed and do home improvements (and have a little amount of "back-up" money).. will i qualify for anything?? and what's better in my situation, a line of credit or an equity loan?? the bank can cut the checks to my creditors and i will close my accounts too (on all of my credit cards, except maybe one or two) so they know i won't be getting back into debt.. what do you guys think?? and what's a good company to what's a good company to go with??

I want to purchase a small fixer upper and pull out the equity for a remodel.? I am NOT a house flipper but I am looking for a way to get the type of house that I want without paying the extreme cost for already remodeled home. In California, how quickly after closing can I take out a home equity loan? I am a first time home buyer with fair credit. Are there any other options that anyone can advise?

80/10/5 Home loan - conver to Home Equity Line of Credit? So, in a nutshell, i bought a new home 2 months ago (it closed 2 months ago). The loan is structured as an 80/10/5 loan. The home was purchased for 460K. $368,000 is on the 1st (at 5.625), $69,000 is on the 2nd (at 8.25%). The balance came from my down payment. The house appraised at 555K at the time of purchase and that's what the lender went with for our home valuation. SO, with that said... i have seen home equity line of credit offers at the 5-6% range and would like that on the 69K instead of what i have now. Is that generally a possibility to get one to pay off a 2nd just 2 months after we bought the house? I ask because not only do i want an interest rate reduction but I also want to remodel our kitchen a bit so would like to cash out 15 grand worth. So, any experts out there that know the ins and outs of this? BTW, i bought a Bank-owned REO property in California if that matters. Whoops, i messed up, i said 80/10/5. I *should* have said 80/15/5. My apologies =). Thanks for catching that

What home loan interest rate can I expect? Currently my FICO is 630, I have history of a bankruptcy 6 years ago, I make 80k a year, my only current debt is a 6k auto loan, oh and those dreaded 21k in student loans. I'm in California and 4 years ago I really wanted to purchase a home before the prices got to out of control but no bank would touch me despite a good career and down payment so my parents who had their home paid off got the loan for me and I've been paying the mortgage. Now 4 years later I'm ready to be an adult and do the right thing and get my home loan in my name even if it means a higher interest rate then the current 4.5%. With the equity I've established (my home is worth 380k and I owe 180k but thinking about borrowing 200k to pay the auto loan and do some home improvements) is it possible for me to get a decent interest rate with my train wreak credit history? Any insight would be appreciated, Kelly

Need to refinance the home where I live I have a 80/20 loan 80 is 6.25 adjustable and 20 is 11.5 a? Home in california that is worth about 240000 and my balance on that is 35000 the balance on the second house is 204000 and is worth about 235000, I need some money for a bussiness how can I refinance the second and get a equity loan on the second also how do I avoid paying to much taxes if I sell the one in california

Tax implications of shared-equity mortage versus title change.? I have been sharing a home with my boyfriend for almost 15 years. The house mortage is paid off but we are looking at doing some home improvements using the home equity. My boyfriend has suggested adding my name to the title and then get a home equity loan in both of our names. I was wondering about the tax implications of this arrangement in CALIFORNIA. If this is not feasible solution, I was wondering if I should look into buying a 25% interest in his home as another solution? Please provide any recommendations...

My mother dies in NY state while owning a home, I was never on the mortgage, am I responsible in anyway? I live in California, mother bought home 4 years ago, has a equity loan over the value of the home including mortgage. Lender is seeking me to pay since my mother died last year. I was never on any loan, can I be responsible

equity loan on property with bad credit and self employed? i own my home and land in california and reside in it. i'm self employed (retail store) for 7 months. my home and property are fully paid for . i'm looking for a small loan 10-15k property is worth 175k my credit is bad any ideas? thanks

Home Loan (Refinancing option)?? I am buying a home in Fresno California. I am 34 years old. My house is in my parents name due to my credit. I have been buying the home for thirteen years and owe appr. $50, 000. I am late in payments as many people in the U.S. are. The loan is with Wells Fargo. I would like to approach my parents with a/some suggestions as to how we can refinance, take out on the equity, etc. Something to assist with catching up, having some cash for renovations, etc. Any suggestions?

Does California Section 580b Anti-Deficiency Protection apply to loans that been sold to another lender? If a borrower took a 80/20 loan but the 2nd (20) loan has been sold to another bank, does California Section 580b Anti-Deficiency Protection still apply? "NO" refinancing or home equity credit has been taken. Basically, the 80/20 loan is "Purchase Money".

Foreclosure Advise Wanted? I own a home in California that has several home equity loans on it. All of the loans are with Wells Fargo and the loan was created and signed in CA. I have since moved to Idaho and can no longer make the loan payments on the CA house. The house is now less considerably less than the loan amounts. Idaho is not a debt forgiveness state and CA is. Would this be an Idaho case since I now live there or a CA case since that is where the house is and where the loan was created and signed? Additionally, if the house goes into foreclosure can I be held liable for the difference between the sale price and the loan balance? I have no problem walking away from the house and giving the bank the keys. Any suggestions or alternatives would be approeciated.

Can anyone tell me about bankruptcy or refer me to a website that is educational on the different types of BK? and how to go about doing it?? And what the repurcussions (sp?) are?? I am about $100k in debt.. Between a student loan, car loan and various credit cards.. I am starting to think this is my only way out because I work under the table and can't get a home equity loan.. How much do BK's cost anyhow?? I am in California.. Thanx.... i'm 21 yrs old.. still young enough to declare & bounce back.. do you HAVE to have a lawyer do it for you??

If you bought someone out on a primary residence, is it a money purchase loan protected by California anti-def anti-deficiency law meaning once the bank foreclosed the property; they are not allowed to come after me for the balance that didn’t satisfy the loan balance after the sale of the auction. So I originally purchased the house in 2002 with my wife. Then she wanted to leave so I bought here out to transfer the title and mortgage to me. An additional 30k in home equity became part of the new mortgage and was paid to her. The sellers were listed as herself and me and the buyer was listed as me but with a different form of my name. Does this financing count as a money purchase loan that is protected against deficiency judgments in foreclosure or is it just a refinance that would have no protection in foreclosure? I have paid off around 20k of the total mortgage. Does that mean they can only come after me for 10k now in foreclosure or can they come after me for the full mortgage amount of 260k?

Foreclosure on an Investment Home in California? I bought an investment home over 2 years ago before the bubble burst but the neg am loan is eating up the equity. It is located in Calif as is my primary residence. The lender doesn't want to modify the loan terms to make it more reasonable, within 12 months we'll owe more than its market value. If we decided to let it go to the lender either as a foreclosure or short sale, does the lender have recourse against my primary home, which is NOT part of the note or deed. We asked the lender to work with us, they are simply declining and it appears that they'd rather be in the rental business instead of the mortgage business. So in Calif can they go after your primary home which is not connected to the investment home in any way. By the way, they are different lenders.

Using my equity to refinance from an ARM to a fixed rate? I bought my small southern california home for $760K. I had my agent pull comps that has my home value at $810K. Zillow.com (which I know is just a best guess) has my home listed at $805. I am 1.5 years into my 5/1 interest only ARM 100% financing and want to refi to a fixed rate loan asap. I owe $760K on the home. My credit score is 910 (Excellent). I want to put 5% ($38K) down on the home when I refinance. Can I roll my existing equity into the new fixed loan? (current market value $810K - $760K purchase price = $50K equity in home)

in California, i move in with my girlfriend, she has owned her home 7 years prior to us refi-ing the house? in 2005. She was in behind in her foreberance agreement with the bank prior to the refi of the house.Due to equity built up in the house, money was taken out of the house due to the refi. She needed me to go on the loan due to my credit and income at the time and the lack of credit and income on her part. She added me to the title/deed to the home which reads joint tenants with equal rights of survivorship. There is no special language in the loan or written documents spelling out how to dissolve the financial bind due to the loan of the house. Do i really own half of the house? We have been living together for over 2yrs now, not quite 3yrs. How does the state of California view this matter?

First home time home buyer purchasing an "investment" home wondering about tax and gain treatments? I purchased a unit in a high rise building in Baltimore 2 years ago. The construction is finally finishing up and I am set to close July 07. The idea was always for this to be a primary residence however I have since moved to California. I locked in a price of $350k and it has appreciated to at least $425k so I still want to close. Through USAA they are offering me a "Primary Mortage, Second Residence" loan which gives me a primary rate though acknowledging I will nto live there year round. What are the best ways to treat the taxes and more importantly the gains? Will they be capital gains? Can I avoid that? I have also considered taking a small equity loan. How will this affect the overall situation?

Your Thoughts? -------------------------------------------------------------------------------- Yes, it is true. Just look at the data and facts. People don't want to hear this. And when people have to take responsibility to change their lives, they always want the easy way out and a silver bullet. So when you tell people that we are going into an economic down turn worse than the great depression, the childish responses are, "Well I hope your wrong." Let's look at the data. When we went into the the depression the United States didn't have an national debt of 9 trillion we had a surplus. When we went into the depression there was no such thing as credit cards and most people didn't own homes and there wasn't anything called a home equity loan . When we went into the depression, the United States was not fighting 2 wars and possibly a third coming on. So when you go over the data you can see by every measurement that the economic down turn we are going in now is worse than anything we've ever seen before. What is going on now is way worse than what was going on in 1973. We're talking about a barrel of oil going at $134 and I believe it will reach $200 thus making it $10-12 a gallon at the pump. You no longer hear the people on these money shows talking about "Well accounting for inflation, oil is still a lot cheaper than what is was at the worst point of the energy crisis back in the 70's and 80's. They don't say that anymore because it's not true. We are in an energy crisis now. Major media networks should be making headlines every day about what's going to happen, come winter. But they won't. How are people going to afford to heat their homes over 4 dollars a gallon for home heating oil? How are they going to pay utility bills? We are going into an economic down turn, a crash that no one has ever seen before. There is nothing in the future that's going to save this country. And the federal reserve which by the way most people don't know is really just a private company, it has nothing to do with the federal government . And it's illegal also according to article 1, section 8 clause 5 of the constitution, which gives congress the sole power to print and regulate money. They're the ones and the bankers behind them, brokers and wall street bandits that have flooded the country with cheap money, driven down the value of the dollar and are robbing the people of their future. But people don't understand this, they don't know what it means to have a cheap dollar, they blame the Arabs, they blame everybody for the high oil prices except themselves and the Government. I believe the average American is fully aware that they are living non sustainable lives. I blame pop culture today in this country. It's all about becoming their own self serving bloated beaucracies. The average American is sick. We have over 1 hundred million that are over weight , we have 63 million with heart disease, we have stress related diseases and cancers, and arthritis and diabetes all of which are 95% preventable. We do nothing in our society to prevent any crisis. We'll continue to move into hurricane alley, tornado alley, we'll move where it's dry as a tinder box, we'll move to states where there is barely any water left (California), continue to smoke, we'll eat fast foods, watch stupid television, we'll spend money we don't have, we have negative 1.2% savings. The Chinese have almost 38% savings. We're negative -1. The average American could not last more than one week without an income flowing in or they would hit the poverty level. 35 million Americans are going to bed hungry. And we don't have a single person talking about why we have 35 million Americans going to bed hungry each day and a hundred million of Americans are very close to that. But as it is with people in America. We're looking to dull the pain and looking for others to bail us out. The people in this country have no civic courage, and theres a lack of self respect. Take a look at the way people in this country dress/look. You go around the world you don't see it anywhere else. We're talking about $134 dollars a barrel and what do we hear? It's the presidential clown race. and if anyone thinks that the Democrats or Republicans are going to change the course, they're kidding themselves. And I think most people know it but they continue to say the same stupid thing over and over again. "I'm going with (Clinton, Obama, McCain) with this one because it's the lesser of 2 evils." What kind of relationship is that? Oh the last person I was with was terrible, this one isn't as bad but it's terrible as well. It's this kind of logic that runs rampant, and it's pathetic to see. High prices, people losing jobs, becoming homeless all fuels the fire for a major break down in the country and people will panic and when people panic, all hell will break loose. That's ok, no body should listen, just watch American Idol, ride around in your SUV and everything will be fine. The bottom line is, this nation is on a non stop course to destruction and the best that I can say to people is, understand what's going on and start taking pro active measures to avoid the worst. I hope these words are a cry in the dark and some people wake up to this truth. Start looking with open minds. __________________ "I found Rome a city of bricks and left it a city of marble.” Augustus Caesar Italiano142 View Public Profile Send a private message to Italiano142 Find More Posts by Italiano142 Add Italiano142 to Your Buddy List Yesterday, 11:21 PM #2 Marlon Brando Forum Member Join Date: Feb 2008 Posts: 272 Re: America is collapsing (My thoughts) -------------------------------------------------------------------------------- We have a black cancer period.

I live in SD,CA.I have 2 mortg. If I foreclose on the 2nd first will that prevent me from owing a deficiency? I bought my condo 2 yrs ago in Chula Vista California. I have two mortgages for my home. The first one the big one is interest only 4.625 wich jumps 3% in Dec causing a $500 hike on my monthly paymts. The 2nd one is fixed 12%. The hike is making it impossible for me to make my paymts. I tried to refiance, but I found out that the value of my home has decreased 15 thousand dollars. So my options I feel are only to really struggle with these payments on a house the is not worth what I am paying already or Foreclose. I don't want to get another loan(Home Equity Line of Credit) to pay off my bills so that I can afford this home, which is what current lender recommends so I can keep paying. I want to Foreclose but I DO NOT want to be Liable for a DEFECIENCY if they don't get what I owe on it. I was told to avoid that I should try to get the 2nd loan to foreclose first. Is this true? What Can I do so that I will not be liabel for Defeciency if I Foreclose. Plse help if at all possible

Recourse Loan Or Non-Recourse Laon? I am facing foreclosure on my home. I used 100% financing to purchase my home. It was strucutred as an 80/20, with the 2nd being a Home Equity Line Of Credit (HELOC). Now ,I know in California 1st mortgages are non-recourse. I am a bit confused and have gotten mixed feedback on the HELOC. Some say that all HELOCs are recourse loans. Others are telling me that only HELOCs where you have pulled against your equity are recourse, while a HELOC used as a 2nd mortgage to purchase a home is non-recourse. I HAVE NOT refinanced either of my loans and I have not used my HELOC to pull cash out. I simply used as a 2nd mortgage as recomended by my loan officer. Anyone have the answer?

My father quitclaimed a home to me.The value is approx 500,000 with about 170,000 left to pay.What should I do I'm paying for the mortgage.. Should I get a loan for only 170,000? I have a credit score of 796 and I only have 599 owed on my Credit card. Not sure what to do with the Equity. I'm renting out the house for $1000 above the mortgage. This is in California. What kind of loan should I get and could I just finance the 170,000? Should I pull out the equity and invest it somewhere? I'm 32 years old with a wife and son and have no retirement savings other than this house to work with. Please help.

My mom is in a middle of a divorce and stuck with a huge mortgage, what should she do? Mother is in middle of divorce, may be stuck with a huge mortgage + HELOC loan attached. The home has no equity left, since they've refinanced twice (big mistake) in the past plus sinking home prices. As far as dividing up the liabilities, what other options does she have? This is in the state of California (Santa Clara County). She is afraid that she may be stuck with the house and not able to catch up with the mortgage. She would like to avoid foreclosing if all possible. Thanks

Adjustable rate coming up on my mortgage.80/20 loan? I live in southern California, I currently have an 80/20 loan and the 80% is going to adjust. I'am in the process of refinancing but it isn't looking too good for me, I have about 20,000 in equity according to a recent home appraisal but I'am still having problems getting a loan. The payments will go up around $700.00 when it adjusts and it will be almost impossible to pay. Should I contact my Mortgage company now and see if they can work with me and if so what is the likely hood that they will work with me? I would like to avoid a short sell or obviously foreclosure. What are some of my other options? I have fair credit and good income. Beneficial is the company the loan is through.

How can I get a loan ??PLEASE HELP !!!!!? I have a 2 homes one which recently went into forclosure and one in which I have about 200 equity I'm trying to fix the one with equity but no bank will finance me any type of loan ... I really need m the money fast .. how else can I work with this .. the forclosure was in Feb of 07 and i tried doing a personal loan and line of equity through 3 banks all say its too soon because of the foreclouser and deny my loan WHAT else can I do HELP!!!! im in san jose California

Would you file for bankruptcy if this were your situation? My daughter bought a house with her fiance in 05' (in California) they have a first and a second. The second is fixed but the first is a variable and the interest rate is doubling. They put no money down and the first was an interest only loan, therefore there is no equity and the house has declined significantly in value due to the market. Also, she has $15,000 in credit card debt. I am thinking they just might be better off if she files for bankruptcy at this point (yes she has learned her lesson) and perhaps in the future they can purchase another home maybe even sooner since he has pretty good credit, housing prices are a lot lower and he could qualify for a loan.

How can I raise money to purchase real estate? Between my parents and myself we own 13 properties. They are all single family, condos, and 1 three unit property and all in california. 2 are the homes we live in and the other 11 are all either breaking even or cashflowing with small loan balances and significant equity. I would like to raise money to purchase additional properties which will all either break even or cashflow. But I dont want to loan against our current portfolio of properties as my parents are very debt/leverage averse. I would like to purchase single family homes in the Riverside/San Bernardino markets (where we already own 5 of our properties) that make sense as investment properties. I have experience owning, managing, renting, and repairing properties. I am also a licensed appraiser and licensed real estate broker. What do you suggest I do to raise money to purchase additional properties without leveraging what we already have? I have a 625 Fico Score with 1X60 late payment in the middle of last year.

Short sale of foreclosure? What is the best option? I am aware that in California they passed a law about a year and a half ago where if your home foreclosures you are only legally bound to pay back the loan if you refinanced and took equity out not on your original purchase loan. That being said we can still make our payment but the neighborhood is getting really bad with gangs violence and break-ins. I am 20 something female whose husband works nights & I can't sleep at night anymore since this has started & I think it will only get worse on a house that is now worth 50K less than we paid for it. So would it be better to walk away or see if the lender will accept a short sale. In a foreclosure do they send you a 1099 to get taxed on the difference? Because of the area we live in our houses will be the last to have value return. So we'll be stuck there for the next 10 years probably & to top it off we have an ARM that we were told how easy it'd be to refinance before it resets so I fear 3 more years it will be too much $ anyways Thank you for the concern but I would rather have to live with a foreclosure for 7 years than live with not being able to sleep at night or every go out of town or in a worst case scenario live with being raped for the rest of my life. So please answer what I asked not tell me no don't do that. The values since the neighborhood is so bad are not likely to rise for another 6-7 years. I can't stay and wait for it to get worse and worse.