Is it a good idea to get a loan from the equity of your house to invest in mutual funds?
103399
I wouldn't do it.  You are risking the equity that you have built in your house.  Also, you would need to generate a high rate of return just to pay for the interest on that loan.  High Return = High Risk!
946181
Depends on the state you are in. Check with your bank first. They might be willing to do it. Most lenders won't want to mess with that. A land/home package would be better and get you a better interest rate.
161105
No -- absolutely not. What are you thinking????\n\nNon-Mexican's can not buy property in Mexico. Who will be your property buyers?\n\nSign up for the Motley Fool Investment email newsletter. They say those of us who are not yet millionaires should be invested in a Mutual Fund until we are.\n\nAlso, you can buy a beat up house in your area, fix it up and sell it for a profit then buy another one. The goal is to grow your money right?\n\nKeep your money growing for you at home.
638203
Yes in one sense but in reality no!\nIt will increase the pride and knowledge of knowing you owe less, can keep more if your sell, should understand your investment more, regarding what areas if you refinance the home in terms of how to invest the diff, invest wise and spend wise, you have more to gain with equity than without any!
696816
I say go for it. I did when I was at school. I had excess student loan money after all my tuition had been paid. Made an excellent return on investment. as to the poster who says you should never borrow to invest...that is just madness...EVERY business borrows to invest (when a company issues bonds there are borrowing money from investors at a lower interest rate and investing it at a higher interest rate)and even the government does it i.e. Treasury bills are used to fund government expenditure. as a word of caution though don't invest in stocks. the stock market is not predictable. you are better off with a CD/Treasury bill or a municipal bond
754394
yes you can. you just have to make sure that you can show the equity and the fact that you can make the payments on both of the loans.
207508
I'm a financial proffesional, but not in USA; thus i'm allowed to offer advice:\nMoney market will offer you liquidity and security.\nfixed income mutual funds will offer you roughly the same.\nI wouldn't go, at you age, for equity funds.\nHowever, if you have large amount of money, that you won't use for yourself but instead leave to youyr heirs, you might invest a large proportion of THAT money into equity MF's
1103230
It depends.  They do offer it for Equity Plus MBT's home equity loans.  You will have to call them to see if your account can have overdraft protection.
880853
You asked questions that should be answered by qualified mortgage broker. If you are working with one ask him/her all of these questions and if you are not, than find some one in your area.  You should also consider talking to a financial planer, he/she will explain to you the benefits and pitfalls of investing your down payment.\n\nI would suggest that if you can afford making the payments for your new home without any financial hardship, invest the money into less risky investments. You will not get 10% as mutual funds would pay, but you may still be able to get good return on your money and have less risk involved. \n\nOne of the great benefits of home-ownership is having income tax deduction, which in the case of 100% or 80% / 20% financing would be substantial. \n\nDo not be afraid of PMI, if it would be a better deal for you to pay it (must have more info if it would be a better deal), you can always refinance at the later date when the property value will go up and you have 20% equity.\n\nYou can refinance both 1st and 2nd mortgage into one loan if it would make sense at the time.
136483
If the home improvement is one that will up the value of the home considerably (redo kitchen, finish basement) use a home equity loan, just make sure you don't over exert yourself financially.\nFor minor home improvements (paint, moulding) save up to do the repairs or do them in small steps.\nThe best way to finance home improvement is to not finance them but to pay for them up front.  This isn't always an option so go over yours carefully and if you use your house as collateral be sure to justify the extra costs (construction costs and insurance costs).
187846
I agree, get a home equity loan.
1166672
Talk to the bank to take a business loan. If the profits are great, you'd be crazy to give away the share of the profits to an investor, just keep it to yourself.
321925
Absolutely!!  You can either live on one side and have tenants live on the other side who basically pay your mortgage via their rent.  Or, if you are not going to live there, one half pays the mortgage, and the other have is positive income.  On top of that, house values go up basically every year.  So yes try to invest in MANY multi units, you will get very wealthy!
1135664
it is a good idea to get a consolidation loan if you can but you won't get a low interest rate
79514
No, however you may be able to refinance that loan with a home equity loan and deduct the interest on that.
1095601
Do they need to be replaced soon or can it wait?  Why not start saving money every month in a money market account to pay for some or all of it without having to borrow.  Once you start borrowing against the house, it may never stop.  Plus, if you only have very little equity, you'll be upside down on your loan.  Then what happens if you have to sell?  Since you are a homeowner, it is imperative to have an emergency fund, usually 3-6 months expenses.\n\nYou can either save money and pay yourself or borrow money and pay a creditor.
125681
If you are over the age of 62, and have equity in your home you could benefit.  This type of loan is best if you intend to live in your home as long as possible.  \nIt allows you to use the equity in your home, maintain title, and never make a payment as long as a borrower lives in the home.\nGet some information based on borrower(s)'s age(s), location, home value, and how much you owe. Then decide if it is right for you.  Best of luck -\n\ncheck out www.reversemortgagefinance.com