Bust Erodes Home Equity

[empip]

http://www.nytimes.com/2010/08/12/business/12debt.html?_r=1&hp

...Utah Loan Servicing is a debt collector that buys home equity loans from lenders. Clark Terry, the chief executive, says he does not pay more than $500 for a loan, regardless of how big it is.
“Anything over $15,000 to $20,000 is not collectible,” Mr. Terry said. “Americans seem to believe that anything they can get away with is O.K.”...

 

[Nige F]

I thought that was a Latin inscription - Is Tel. Clark head of the UK operation

 

[Donkmeister]

I'd borrow SOME money to buy a boat, but tbh if you need to borrow $300K to buy a leisure boat, you can't afford to fuel/maintain/marina that boat.

I don't think I'd ever borrow against my house though... I can understand people doing it to buy a second house, but doing it to buy a car, boat, holiday, big telly seems foolhardy when you consider the repercussions if you default.

I worked out that if I had stayed in the pokey little flat I bought when I was 21, I would have the mortgage paid off by the time I am 31... sounds nice but I much prefer having a garden and some room to breathe, despite the mortgage.