3 ms·
I believe the idea is, if you secure the loan against your house, and your house is beyond repair, you can default on the loan, surrender your house, and still
by maxbond 5y ago
I believe the idea is, if you secure the loan against your house, and your house is beyond repair, you can default on the loan, surrender your house, and still have your savings.
Though I'm skeptical of the terms you'd get on a loan secured by a badly damaged home.
- lmm 5y agoWell you're out the value of your house in that case, so I don't think that leaves you any better off. A loan might let you smooth out a sudden big expense, but it's not going to make it go away.