Sentences with phrase «equity cushion»

Second, I'd also be wary about notes in second or lower position unless the senior liens are manageable and there is a mountain of equity cushion above the second.

«They may have enough equity cushion in that project that they can lower the sales prices, just to stay in line with the market,» he said.

The main downside of a cash - back mortgage is that you have little equity cushion if home prices fall and you need to sell.

The opportunity is especially attractive if your home has risen in value so you have a larger equity cushion.

Our data shows that most interest - only mortgages have a comfortable equity cushion by the time they mature.

There isn't enough equity cushion there.

When the (thin) equity cushions quickly evaporated during the recent housing bust, refinancing mortgaged homes became very difficult and often impossible for these individuals,» wrote the authors.

The downside is the max LTV might be lower to compensate for risk, so you'll probably need a fairly large equity cushion.

If you have the cash handy, I would buy in cash 100 % of the time, and have a large enough equity cushion to refinance should I desire.

This is because bankers may consider it part of the «equity cushion» that supports the senior bank debt.

Not to mention that even if he has equity in the house and prices in his market continue to fall, he'll be reducing the equity cushion if he has to make an unplanned move.

FHA will insure new, more affordable mortgages in exchange for this equity cushion, which will protect FHA's insurance fund, and thus the taxpayer, against risk.

This will provide an equity cushion and protect taxpayers against risk.»

And remember, these insurers are not at risk of imminent financial failure, so the regulators can't argue they were forced to act; indeed they have all maintained they CAN pay their claims, but don't have enough of an equity cushion to keep a triple A.

The challenge is especially great for first - time buyers who don't have the equity cushion of long - time owners.

This gives us a tremendous safety net — an «equity cushion ``, if you will.

When homes are appreciating quickly, borrowers can often simply refinance out of PMI when their «equity cushion» hits 20 %.

Of course, I also like to get an equity cushion, but I won't pass on a deal if I can get a good return on the cash I have into it and I have some extra cash sitting idle.