U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Real Estate > Mortgages
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 09-11-2013, 07:51 AM
 
16 posts, read 24,918 times
Reputation: 10

Advertisements

I own a home in Florida that I paid about 450K for. It was just built April 2013. I have very little debt, and I own my cars free and clear. I earn about 185K per year.

The problem is my credit SUCKS... horribly. I am working on restoring my credit so at least that ball is rolling.

My question: will any bank entertain giving me a line of credit for say 100K on my house? or is it just a pipe-dream?

I appreciate any and all honest answers
Rate this post positively Reply With Quote Quick reply to this message

 
Old 09-11-2013, 08:37 AM
 
7,672 posts, read 12,062,718 times
Reputation: 8018
If you own the home outright, can't hurt to see if you can by contacting a lender.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-11-2013, 08:45 AM
 
28,460 posts, read 81,603,472 times
Reputation: 18676
Depending on how long you've been earning your current salary, how well documented it is, what sorts of debt / defaults caused your credit to be terrible and the details of how your home is debt free lender's may see you as a better risk than you think... Share the details of the above here or just contact a lender and let'em whack away...
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-11-2013, 08:48 AM
 
4,567 posts, read 10,101,887 times
Reputation: 6706
Why do you need credit? You make good money, have no mortgage.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-11-2013, 09:20 AM
 
16 posts, read 24,918 times
Reputation: 10
@399083453: Honestly, I am buying a plane. I have to put 100K down. As a full time trader, I need capital in my trading account to earn money. If I take the $100K out it will put me in a spot I want to avoid. I have to maintain a certain dollar amount in my account to get the rates, and margin I get. So being able to get 100K would help as I don't have to take it from my trading account.

The rush is that the plane I want to buy takes 13 months to build and they have an open spot. I put a 10K deposit on it, but I have 90 days to send in the other 90K or I lose my spot.

@Chet: Been earning that salary for well over 4 years - at least documented. My debts: I hate to point fingers, but my ex wife took out loans (auto, and credit cards) and did not pay them - she was supposed to pay them in our divorce agreement. She didn't. So now of course the only option I have is paying them all off. I really do not want to but I may ultimately have to try to settle the debt. I pulled MyFico.com the other day and it was 580!! Freaking brutal. The only good thing is that I have a 45K Master Card that I PIF every month.

Let me know what you guys (and gals) think.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-11-2013, 09:26 AM
 
28,460 posts, read 81,603,472 times
Reputation: 18676
Honestly there is a thread in the Chicago about why there are so many traders in Chicago and you ought to read it. Basically you cannot live the Rap Star Life and really have any long term success in the financial markets. You are correct that you need to keep your capital working for you. Sadly you seem to unaware that having a PLANE is not going to result in capital working for you, instead that will become an expensive LIABILITY that has a greater chance of literally KILLING YOU than just about anything else you could do with your money.

Rethink this!
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-11-2013, 09:30 AM
 
16 posts, read 24,918 times
Reputation: 10
HI Chet: I agree. Trading is NOT a rap star life- FAR FROM IT. However, i've been doing it for many years. I worked for a huge firm for many years and managed hundreds of millions of dollars. VERY STRESSFUL! Now I simply trade my own money. About 4-5 years ago my attorney had me move all my capital into an LLC and start drawing salary. I work 3 hours a day and I do pretty good but I am in NO WAY living a rap star life - heck, I have 3 kids and a lot of drama

As far as the plane - very true. It IS and WILL be a liability. This I know. BUt I gotta have some fun... I have been renting aircraft for 3 years. I pay $145 per hour to rent a plane. Over the past 3 years, I could have bought a plane with all my rental fees.

My accountant worked all the numbers and told me I would save a ton of $$ buying a plane and quit renting.

I realize, again, it's not a money maker. But I love flying and thats what I want to do... hence my original question.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-11-2013, 10:12 AM
 
Location: Riverside Ca
22,147 posts, read 30,429,076 times
Reputation: 35380
You're kidding right?

Lol you're in huge debt and you want to leverage yourself to buy a plane. Think about how absurd that sounds. Really step back and see the big picture because I think you're doing what most used to do and that is the I want this so I'm gonna borrow to get it I don't care what it costs or takes. Instant gratification and I don't care. You are willing to leverage your paid for residence for a hole on the sky. And selling a plane takes a specific buyer so I'm sure the market isn't exactly flooded with buyers.
What is the monthly cost of a plane? I'm talking separate from the payment. You have to store it and public storage won't cut it so it has to be at a airport. I'm sure that's not cheap. Then you have what? Maintenance costs and repair costs at a minimum.
I think at this time it would be cheaper for you to rent a plane to fly and not have the worries od payment, storage, maintenance and repairs oh yeah and insurance. Get out of the debt you're in and rebuild your credit and score. Once you're steadily back n your feet then go buy a plane or whatever. Like the song says You can't always get what you want. Well at least not without putting yourself at bigger risk. Which IMO is what you would be doing.
Good luck in your decision,
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-11-2013, 10:27 AM
 
16 posts, read 24,918 times
Reputation: 10
Electrician: I appreciate your input, but not sure if you really read mine. I don't have any debt. I own my home free and clear. I also did not mention but I own a rental free and clear as well. I have very strong assets as I also maintain several hundred thousand in my trading account. I need to maintain a certain dollar amount to trade the way I trade.

Now, the debt that caused my bad credit, honestly, is minimal - maybe 25K that my ex wife is supposed to pay.

I mentioned I had a 45K Credit Card - maybe I wasnt clear. It has a zero balance, LOL. I PIF (pay in full) each month. I have had that credit card for 15 years, it's the only "good credit" I have.

As far as the plane: It depends. Yes, I have hangar, and maintenance fees I will pay. True, it will COST more to own a plane, than to lease a plane. The way I travel, its a really good idea to own my plane. For example, I can't rent a plane for 2 weeks straight - at least not here where I am in Florida.

So - again. I'm confused on your post. I most certainly can afford my $1500 a month plane payment, and the $500 a month I need for hangar, maintenance. I earn a salary of about 180K per year. I have no mortgage, no car payments. I pay for my kids private school is all...

But in any event, I do appreciate the input... but would like clarification if you would not mind.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 09-11-2013, 10:29 AM
 
16 posts, read 24,918 times
Reputation: 10
I suppose I should add - I can purchase the plane for cash. That's not the issue. The issue is the agreeement I have with Chicago!! I have to maintain basically 400K to get the margin rates that I am paying. Basically, I can borrow and trade literally millions of dollars of stock, and pay a few hundred per month. If my account goes below 400K - then the rates are insanely so high that I could not trade how I do. I could trade without margin, but the way I trade, it would be difficult to make the $ I make... hope that clears it up.
Rate this post positively Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Real Estate > Mortgages

All times are GMT -6. The time now is 09:06 AM.

© 2005-2023, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Contact Us - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37 - Top