I don’t know. I mean, there’s a good chance that the original purchase price of the house is almost paid off, but having a sudden $76,000 increase in your bills is going to be tough on anybody. Unless they have made some very bad financial decisions outside of this, that probably is more than double their monthly mortgage.
And as somebody who has an inordinate amount of equity in a house they purchased far too recently for the amount of equity that I have, it is not exactly easy to pull money out of a house as a homeowner, And even if they do take loans to pay the tax burden, that doesn’t mean that the money has been handled. It just has taken today’s problem and pushed it off for tomorrow.
I’m not attempting to justify them. I’m just examining their side with the slightest benefit of the doubt.
They just did an expensive Reno…. None of your comment makes any logic given that they just did an expensive Reno, they could afford to throw money around.
Renovation loans exist, and are often secured against the property (backed by the increased value or against equity).
So there’s a real possibility that they only increased their debt and monthly expenses without having the liquid capital for the unexpected tax payments
Sucks to suck if that’s the case. If they truly couldn’t afford this, they should have been more diligent about researching the potential ramifications of making these renovations. That goes even more so for someone with experience in the field of real property.
I don’t know. I mean, there’s a good chance that the original purchase price of the house is almost paid off, but having a sudden $76,000 increase in your bills is going to be tough on anybody. Unless they have made some very bad financial decisions outside of this, that probably is more than double their monthly mortgage.
And as somebody who has an inordinate amount of equity in a house they purchased far too recently for the amount of equity that I have, it is not exactly easy to pull money out of a house as a homeowner, And even if they do take loans to pay the tax burden, that doesn’t mean that the money has been handled. It just has taken today’s problem and pushed it off for tomorrow.
I’m not attempting to justify them. I’m just examining their side with the slightest benefit of the doubt.
They just did an expensive Reno…. None of your comment makes any logic given that they just did an expensive Reno, they could afford to throw money around.
Maybe, maybe not.
Renovation loans exist, and are often secured against the property (backed by the increased value or against equity).
So there’s a real possibility that they only increased their debt and monthly expenses without having the liquid capital for the unexpected tax payments
Sucks to suck if that’s the case. If they truly couldn’t afford this, they should have been more diligent about researching the potential ramifications of making these renovations. That goes even more so for someone with experience in the field of real property.