Home equity loan question?

Alright so I'm 25 years old. My day job is admin assistant 36k a year before taxes. With help, I was able to get a 300k mortgage for my 390k 2 bedroom condo. With 100k down payment. The payment is 1.4k a month for 30 years. I will be making my first payment in May as I move in then.I was wondering If I. Not sure which country you are living in, but most banks, by way of a loan, would not want to lend more then a total of max loan from your original loan and home equity loan of 20%. That means you could only barrow, a max of 5% or about $20,000 from your home. And you can use it for whatever you want. But know an equity loan is usually at a higher rate, and if in the USA, some states will not allow you to take the interest off your taxes unless it is used for the house, in house repairs or up grades. And know whatever amount you barrow, you will have an additional mo they payment. Of a few hundred a month. $250350 a month. And even if you can take the interest off your taxes, it still has a cost. off the top of my head, I would say $50$75 a month. That means your investment to make it worth it would have to make you, $300 or more a month. And don't forget most investments have a chance of losing money. You should be prepared, of losing some money. Depending on the investment, should not be more then 25%, and that should be the worse. It will all depend on can you survive the loss. If not don't do it. Your best investment at 25, put money in an IRA, or 401k. In the next 5yrs if you can put $25,000 into your IRA, in a medium risk mutual fund, by the time you are 55yrs old you could have 1.2 million for retirement. Depending on your country, there are a few ways with little risk to boost it. there is no way you can get another loan on top of a 300k loan which is way more than you can afford. how did you ever get approved for more than a $100k mortgage? 1400 a month is also half your monthly GROSS pay way over the accepted limits. you are going to run out of money very quickly. it could be possible but your loan to income ratio could be a problem Not possible. Your finances will be inspected and there is no way on your salary that you will be able to pay it off. Not sure what TD canada's specific requirements, but here in the US we do not exceed 89.99% loan to value. Thats with a FICO of 740. If you have a score under that, we cap at either 80% or 84.99% LTV. Debt to Income cannot exceed specific criteria as well. Around 45%

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>