Issue With Home Equity After Refinancing First Mortgage

By Christopher Combs | May 23, 2021

Question: We bought our Glendale home in 2008 with a first mortgage loan of $200,000. At the same time we got a $100,000 Home Equity Line of Credit (“$100,000 HELOC”) from the same mortgage lender. We have never borrowed any money on the $100,000 HELOC. Last year we refinanced the first mortgage loan with a…

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Retired Son's Plan Puts Parents At Risk

By Christopher Combs | November 12, 2012

Question: After my son’s wife died, he used the life insurance proceeds to pay off the mortgage on their Gilbert home, and my son took early retirement. My son now wants to take out a home equity line of credit on his home and use the HELOC funds to buy one or two small investment…

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Life After Death? Extension of Debt Relief?

By Christopher Combs | October 17, 2012

   Any forgiveness of debt is generally taxable income.  In 2007 during the height of the housing crisis the Mortgage Debt Relief Act was passed.  Under this Act any debt forgiveness after foreclosure or a short sale by a mortgage lender on a loan used to purchase a primary residence, or to make improvements to…

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