Just trying to figure out my options here. I could just sell the home, but that's taxes galore. Is there a tax-free way to get this money to be usable for a time, without getting shafted by the bank?
2007-07-05 15:50:47 · 7 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
people should read the question carefully before answering as if I were a moron, which makes them look all the more foolish. Nobody's talking about free money.
2007-07-05 16:05:20 · update #1
You might consider a 1031 into an income generating piece of property like a drug store or shopping mall. A commercial real estate agent can help you with this. It sounds like you are looking at a shorter-term solution, though. The broker-dealer that you do business with should have some 1031 options that renew every 1-5 years instead of 99 year leases.
2007-07-06 04:18:19 · answer #1 · answered by aaron p 5 · 0⤊ 0⤋
I you have lived in the house 2 of the last 5 years you get a 250K tax break (500K if you are married and your spouse also meets the 2 of 5 years requirement). Aside from that you will need to take out some sort of loan on the house and pay interest on that loan.
You could make it a home equity line where you only take out what you need when you need it (like a credit card) and though you will be charged interest monthly you can even pay that interest by using more of the equity line (so long and you have available credit left) so although you are charged interest you don't pay it back until you want to (for example you have a 50K balance on the equity line but the line goes to 100K. If the bank charges you $500 interest just apply it to the line by literally sending the bank a check pulling off the line - so your new balance is 50.5K).
2007-07-05 16:14:32 · answer #2 · answered by Slumlord 7 · 0⤊ 0⤋
I have an equity line of credit that didn't cost me anything to establish, but there is an interest rate when I do use it.
You can't really cash in on equity unless you are selling or refinancing because it is only then that your house is actually going to prove to be worth more than when you bought it, when the equity is realized.
2007-07-05 16:38:03 · answer #3 · answered by Anonymous · 0⤊ 0⤋
No, there is not a way to gain access to equity without paying SOMEONE for the privilege of using that money while you still own the home.
Are you actually thinking someone will lend money to you without an interest charge ?
2007-07-05 15:54:45 · answer #4 · answered by acermill 7 · 0⤊ 1⤋
I am in Tampa, FL. A commercial came on on my cable TV tonight with Countrywide offering a PROMO of no fees, no closing costs etc They are a good company to deal with, and if this promo is available where you are, it might be the way to go. Otherwise, try eloan.com and see if you can get competing rates from a variety of lenders.
https://homeloans.countrywide.com/mortgages/default.aspx?from=JS_YA01_N&afid=1438&sourceid=JS_YA01_N;10360;2;185;2;1438;72393;298;CHL;;K7181;T1;D1;Tier1;YAHBK;0;12082006;SponsoredSearch;CHLBrand;p16695386;&OVMTC=standard&OVADID=649563522&OVKEY=countrywide%20mortgage&OVKWID=3360948022&OVRAW=countrywide%20mortgage#
2007-07-05 17:59:15 · answer #5 · answered by residentialinvestorservices 1 · 0⤊ 0⤋
'Access to equity' is a LOAN . . .
Why would Anyone loan you $$$ for free ?
Not even your parents should be that dumb .
So , really , you want to shaft someone else by getting their $$$$ for free .
2007-07-05 15:56:15 · answer #6 · answered by kate 7 · 0⤊ 1⤋
Funny - you object to being classified as a moron.
Why would (or should) anyone lend you money at no cost?
2007-07-06 07:22:42 · answer #7 · answered by Cumjunkie Doner 2 · 0⤊ 1⤋