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> Still cannot see how home equity can be compared to borrowing against securities Home equity: borrow money with the home used as collateral - if you default
by pwg 2y ago
> Still cannot see how home equity can be compared to borrowing against securities
Home equity: borrow money with the home used as collateral - if you default on the loan the bank takes your house to make themselves whole again.
Borrow against securities: borrow money with the securities used as collateral - if you default on the loan the bank takes your securities to make themselves whole again.
The fact that the house also comes with an attached "ownership tax" that the securities do not include does not change the fact that it is the exact same type of "borrowing".
- bdangubic 2y agoI would agree with this statement 100% if I was also hiding from the government the fact that I own a home when they came to collect property taxes. Since I am not this argument does not hold water.