Taking a loan on your house a bad idea?

[Henrywrites]

I have never really taken a loan out on my house, or using my house as collateral. But has anyone here done so? Has anyone had to take out loans in this way? Were you able to pay it all back and protect your house?

I will never support this at all. There are no guarantees that you are going to make higher returns on loans that you collect. So, it is advisable that you use collaterals that you won't feel uncomfortable such as a car or another item. Using a house that you are living in is a wrong idea, if you ask me.

 

[Good-Person]

I will never support this at all. There are no guarantees that you are going to make higher returns on loans that you collect. So, it is advisable that you use collaterals that you won't feel uncomfortable such as a car or another item. Using a house that you are living in is a wrong idea, if you ask me.

There have been cases where people have mortgaged their own home. This involves house in which they were living. In the end, they ended up losing their house. The bank auctioned their house and they lost it. So, people should never do this at all.

 

[Henrywrites]

There have been cases where people have mortgaged their own home. This involves house in which they were living. In the end, they ended up losing their house. The bank auctioned their house and they lost it. So, people should never do this at all.

If you are buying a house on mortgage, then it is a different ball game entirely since the repayment is srpead wide in a way that you can pay up so as not to find it difficult paying. This is different when you use your house documents as collateral in taking up loans.