ilmscore | Prediction Details
"by the way if we haven't joined Market briefs Market briefs is my free financial newsletter where every day my team is breaking down what's happening in things like the economy the housing market the stock market the crypto market and the global economy into a fun and witty and easy to read newsletter you can read it in less than 5 minutes every morning and we have hundreds of thousands of investors that read marketpl every morning so if you have not joined yet I got the link for you to join down in the description below here's why this matters your house is only worth what somebody else is willing to pay so you buy this house for $400,000 you build $100,000 worth of equity and now you start spending that Equity well what happens if we start to see home prices fall because we have seen that happen before and now if you can't sell your house for say $400,000 now you can be in trouble because you've spent a lot of your Equity if your home value drops down to let's say $300,000 but now you owe a $300,000 mortgage plus a $20,000 home equity line of credit now you're underwater you don't have enough collateral to pay off that debt and if you can't make the payments well now you're really in trouble"
By Minority Mindset | January 10, 2025 | Pending
From video
Why Homeowners Lose Money: 5 Mistakes You Can Avoid 00:02:45 - 00:04:29
Interpreted Prediction
Consumers who take out HELOCs and spend the equity risk being underwater if home prices fall significantly, potentially owing more than the home is worth.

Prediction Details

Topic
Home Equity Line of Credit (HELOC)

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