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Can you reborrow against the property at 100%? Most places I’ve seen will only lend on business owned or investment properties at 50% LTV
by gigatexal 6y ago
Can you reborrow against the property at 100%? Most places I’ve seen will only lend on business owned or investment properties at 50% LTV
- arcticbull 6y agoIf you already have a ton of stock, the property is irrelevant. Let's say you have $10M in stock that you're fairly confident will retain its value. The regulation T initial margin is 50% and maintenance margin is 25%. If you wanted to buy a $1M property, there's no reason you can't borrow $1M against your stock and buy a house with the cash and borrow another $1M to buy TLT with. Except for, you know, your personal risk tolerance. InteractiveBrokers will charge you only about 1% these days, less if you borrow more, as low as 0.75% [1]. [1] https://www1.interactivebrokers.com/en/index.php?f=44427&gclid=CjwKCAiA4o79BRBvEiwAjteoYL0Mi3rWpjd0FBgfkZf_XyvxgFwkiBDA9TJQcQjuJcohM4O_fEO7dBoCGSgQAvD_BwE https://www1.interactivebrokers.com/en/index.php?f=44427&gcl...