If you have a HELOC (Home Equity Line of Credit), you should think twice and call your lender before planning to use it. Most major banks have been freezing HELOCs lately, due to the price declines so many local market are experiencing.
From InmanNews.com, this is a partial list of the banks already known to be freezing customers' HELOCs:
Bank of America - HELOC Freeze
Countrywide - HELOC Freeze
Chase - HELOC Freeze
CitiGroup - HELOC Freeze under review
National City - HELOC Freeze
Suntrust - HELOC Freeze
USAA Federal Savings - HELOC Feeeze
Washington Mutual - HELOC Freeze
Don't use your HELOC again without seriously looking at the SOLD prices in your neighborhood, and considering whether you have any money left to spend. If you're really concerned about the current market value of your home, call me (or any qualified Realtor you trust) for a comparative market analysis of your area.
An important point to remember is that most of us do NOT need to be worried about declining prices at all! If you like your home, plan to stay in it for 5 years or more, and can afford the payments, then you can ignore this headline and every other gloomy real estate media story. Love your home and rest assured that home prices will rebound by the time you want to sell.
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