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Mercedes GLE
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I am trying to make sure I understand how equity works in terms of the final mortgage/loan repayments.

Here's what I understand:
My townhouse is currently valued at $590K. My outstanding loan is $348K, meaning I have $242K equity.
80% of my property's value is .8*590 = $472K, less the outstanding debt of $348K = $124K usable equity.

Here's where I need clarification:
  • Is it correct to say that in order to avoid LMI, I can get a new loan up to $620K (with $124K being 20% of 620)?

  • Is it also correct to say that if I do this, my outstanding mortgages are (1) $348K on the original loan and (2) $620K-$124K = $496K. Therefore a total outstanding mortgage of $844K?
One last thing:
My husband and my finances are rather separate, and we want to keep it that way.
I have a tenant in my townhouse, that the mortgage on that is current 'taken care of'. (Note that the mortgage/townhouse is in my name only)
My idea is that I buy this new property (using the aforementioned equity) to live in, so that we stop renting. I buy it in my name only - the mortgage repayments be in my name only - but my husband contribute what essentially would be a 50% 'rent' payment to me.

Do you see any pros/cons in doing that?
 

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I am trying to make sure I understand how equity works in terms of the final mortgage/loan repayments.

Here's what I understand:
My townhouse is currently valued at $590K. My outstanding loan is $348K, meaning I have $242K equity.
80% of my property's value is .8*590 = $472K, less the outstanding debt of $348K = $124K usable equity.

Here's where I need clarification:
  • Is it correct to say that in order to avoid LMI, I can get a new loan up to $620K (with $124K being 20% of 620)?

  • Is it also correct to say that if I do this, my outstanding mortgages are (1) $348K on the original loan and (2) $620K-$124K = $496K. Therefore a total outstanding mortgage of $844K?
One last thing:
My husband and my finances are rather separate, and we want to keep it that way.
I have a tenant in my townhouse, that the mortgage on that is current 'taken care of'. (Note that the mortgage/townhouse is in my name only)
My idea is that I buy this new property (using the aforementioned equity) to live in, so that we stop renting. I buy it in my name only - the mortgage repayments be in my name only - but my husband contribute what essentially would be a 50% 'rent' payment to me.

Do you see any pros/cons in doing that?
The first mistake that many economists talk about is the use of equity. That you would later need some library or other credit. It is Important to be able to maintain your own resources as long as possible and from them to form other receipts, and so on. It is also normal that every interpreter is sometimes in such a crisis period that he does not know what to do, but here everything must be thought out very well so as not to end up bankrupt. When I did not have such cases, I turned to yhdistalaina.com and they were finding me the most appropriate credit for my situation.
 

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I am trying to make sure I understand how equity works in terms of the final mortgage/loan repayments.

Here's what I understand:
My townhouse is currently valued at $590K. My outstanding loan is $348K, meaning I have $242K equity.
80% of my property's value is .8*590 = $472K, less the outstanding debt of $348K = $124K usable equity.

Here's where I need clarification:
  • Is it correct to say that in order to avoid LMI, I can get a new loan up to $620K (with $124K being 20% of 620)?

  • Is it also correct to say that if I do this, my outstanding mortgages are (1) $348K on the original loan and (2) $620K-$124K = $496K. Therefore a total outstanding mortgage of $844K?
One last thing:
My husband and my finances are rather separate, and we want to keep it that way.
I have a tenant in my townhouse, that the mortgage on that is current 'taken care of'. (Note that the mortgage/townhouse is in my name only)
My idea is that I buy this new property (using the aforementioned equity) to live in, so that we stop renting. I buy it in my name only - the mortgage repayments be in my name only - but my husband contribute what essentially would be a 50% 'rent' payment to me.

Do you see any pros/cons in doing that?
Very correctly you understood how equity works
 

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As I know, that is precisely how equity works. I mean, it's correct that you get a new loan up to $620K, and your outstanding mortgages are $348K on the original. Back when I got my loan, I was very skeptical about the bank or company where I should get it from. At last, I decided to get the best small online loans. I don't regret it. The conditions were terrific, I got the money in less than one week, and everything was just fine. I didn't even need any advice from an economist. It was that great.
 
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