Quote:
Originally Posted by teamchachi
My mortgage is a massive credit line that is secured against the house. It's called an RBC Home line. Every month they take out only the interest for the month - there is no payment. The whole thing floats at prime.
They'll give you 75% of the value of your home.
So if your place is worth $400K, they'll let you borrow up to $300K. Let's say you only owe $200K on your house, that means you have $100K to play with.
Makes sense?
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The above info is all correct. That's the usual and maybe best way to do this.
I've done this for on my house and talk to clients about it for various purposes. There are different ways to do this. PM if you have questions. I don't do actually do these as part of my business and my sole motive here is to help a guy out.
MoneyGuy, CFP