Comment on Charging to tour rental properties...

<- View Parent
ramble81@lemmy.zip ⁨4⁩ ⁨days⁩ ago

wants to use the property as collateral for the loan

Nothing major honestly. If they default, they would lose their stake in the claim. Since they don’t own the entire house, the bank couldn’t foreclose but they could assume ownership of their portion of the loan. The bank would view it more like a financial instrument rather than a real property.

source
Sort:hotnewtop