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What happens if the outstanding loan balance exceeds the value of my home?

April 26, 2017Balance exceeds happens Home loan value

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What happens if the outstanding loan balance exceeds the value of my home?

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Nothing happens while you are living there. Your line of credit and/or monthly payments continue as long as one homeowner remains there. Once your home is sold, if the net sales price is not enough to repay the outstanding loan balance, you or your heirs are not required to make up the difference.