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What do we think the interest rate will be to finance?

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  • #16
    If you have equity in your home, Take a Home Equity Loan. The interest is tax deductible. Interest always depends on the individual. Taking into consideration FICA scores and or your standing/position/relationship with your banking/financial institution.

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    • #17
      Originally posted by ZORA 69 View Post
      If you have equity in your home, Take a Home Equity Loan. The interest is tax deductible. Interest always depends on the individual. Taking into consideration FICA scores and or your standing/position/relationship with your banking/financial institution.
      The new tax law killed all home equity loan value...

      anything over ten grand in mortgage and taxes each year is worthless..

      literally killing the multimillion dollar real estate market...the word is anything under 600 grand is still moving well. Anything over and its dead...

      Simply put no more writeoffs after ten grand in Mortgage and taxes...

      in some cases thats one or two months maybe three out of twelve and your done...

      Unfortunately taking out a home equity loan has little value these days from a tax perspective....



      Torch Red exterior/ black interior z51 FE4 1LT VK3 GKZ HTA

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      • #18
        The stock market was at an all time high about a week ago. If you think it will take a massive nose dive soon then one way to protect money in your 401k is to take out a loan against it.

        The interest on a 401k loan is high(~5.5%) but you pay it to yourself instead of the bank. If the stock market crashes for an extended period of time the loan will protect the money you have invested. Nothing like selling at the peak and then buying back in when it is low.

        Then again who knows what the stock market will do these days?

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        • #19
          Originally posted by JB View Post

          The new tax law killed all home equity loan value...

          anything over ten grand in mortgage and taxes each year is worthless..

          literally killing the multimillion dollar real estate market...the word is anything under 600 grand is still moving well. Anything over and its dead...

          Simply put no more writeoffs after ten grand in Mortgage and taxes...

          in some cases thats one or two months maybe three out of twelve and your done...

          Unfortunately taking out a home equity loan has little value these days from a tax perspective....


          Most of us here are aging with no debt at all and equity in our homes with no mortgages. And for those that do not fit into this category, a Home equity line of credit is the best source to have ready available money . Anything is better than a higher interest car loan. And, again depending on your relationship with your financial institution the interest rates may be lower with the home equity loan.

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          • #20

            Originally posted by JB View Post

            The new tax law killed all home equity loan value...

            anything over ten grand in mortgage and taxes each year is worthless..

            literally killing the multimillion dollar real estate market...the word is anything under 600 grand is still moving well. Anything over and its dead...

            Simply put no more writeoffs after ten grand in Mortgage and taxes...

            in some cases thats one or two months maybe three out of twelve and your done...

            Unfortunately taking out a home equity loan has little value these days from a tax perspective....



            Actually that statement is factually incorrect. You can deduct all of the interest on mortgages (both first and second) up to $750,000 (down from $1,000,00). The $10,000 cap is on deductions for property and state income taxes. They also tightened the restrictions on home equity loans, the money must be used to improve the home so technically using it to buy a C8 would disqualify the deduction.

            https://www.taxslayer.com/blog/can-i...est-deduction/
            https://www.marketwatch.com/story/ho...law-2018-06-11
            Last edited by mjw930; 08-13-2019, 07:12 AM.
            Mark

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            • #21
              My wife hasn't told me yet what rate she's going to charge me.

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              • #22
                Originally posted by Milliwatt Rob View Post
                Yes, I could pay cash by withdrawals from my tax deferred retirement account. But then, I would have to pay both federal and state income tax on that withdrawal. Better to borrow at 2.5 percent and leave your retirement money in its accounts earning tax deferred capital gains and income.
                Depending on age you have to take withdraws and pay tax on it, at least federal.

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                • #23
                  Originally posted by JustOneMore View Post
                  My wife hasn't told me yet what rate she's going to charge me.
                  My wife just said “half, if you want a Corvette then I want half of everything else”.

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