All Forum Posts by: Brian Cardwell

@Ben Zimmerman

So here is what is not going to happen. I am not writing the novel over again. Do your own research. It is in the forums.

Like said you have made some incorrect assumptions about how the process works. You can't do half homework you have to do it all. Go try to prove yourself wrong, as hard as you have tried to prove me wrong, you might lear something.

@Ben Zimmerman

For the record, though your explanations have merritt, you continue to display that you are not entirely familiar with what is now called velocity banking. That being said, thank you for providing and proving my point with the PenFed heloc.

OP, if you go with the Heloc on your rentals please let us know how it goes.

@Ben Zimmerman

Please tell the whole story. Again you only tell part of the story. If you hold the Heloc for more than 3 years ...umm which is something one would consider when getting this product, the fees are waived. The $ $99 fee only occurs if you have NO interest charged for the year. Again which is not likely. 26cents a day to keep the Heloc open really isn't too much of charge anyway.

I am done with this conversation with you. thanks for your input 🙂

@Alec Hilliard

My apologies Alec for taking away from your original question.

@Ben Zimmerman

I am not going down this rabbit hole again with you. As you stated earlier there are multiple threads to explain this method of paying down ones mortgage. Go read all of those threads. The answer is in there.

My explanation that you seek is there too.

The OP ask about a product. I addressed you, which was a mistake. I addressed the OP's question and provided a link to a product that I believe would help the OP.

We just have to agree to disagree.

So you obviously didn't read the rest of those threads. You would have read that I and one other actually agreed at the end of our discussion. The way you described it in your third paragraph is a great option but you are still using the HELOC as part of the equation.

In your forth paragraph you seem to not understand the process again. You are not carrying a high balance forward if you are doing it properly.  So the process works. Though you say it is not the best way, you do admit that it works. Send that $1000 to any charity you want. 

your quote "I even threw out an open ended offer to PayPal $1000 to anyone who can prove the heloc process to work and I will extend that offer to you as well..."

 We will just have to agree to disagree. My 30yr.  200k+ mortgage was paid off using this method  in a little over 6.5 years. So I say the proof is in the pudding. It worked for me. It has worked for many others. It was easy and comfortable for me. If you dont like it, dont use it.

Prior to 1913, many land/homeowners used the revolving line of credit to purchase their homes, farms and equipment.They actually used them like bank accounts by running all their monies through them. Then our Federal reserve was formed and mortgages changed forever in country. Banks changed forever. 

So to the OP here is the link to the PENFED website.  Just tell them you want to refi into a line of credit. The first person you talk to may tell you no but ask for a supervisor because they can do it.

https://www.penfed.org/home-eq...

@Mack Benson

Well said big Mack

@Chelsea Jeffers

Don't fiagle .... That is mortgage fraud. Check PenFed to see if they can help.

@Alec Hilliard

Though Zimmerman is correct in his calculations, he is incorrect in his conclusions that it's a scam. The whole process is what makes "velocity banking" work. The idea is to use the Heloc as your bank account. All excess monies are to stay in the Heloc thus paying down the principle faster, which in turn decreases the interest paid. Sort of like this run on sentence. He is correct in saying one could take the extra money and put it on the principle of the loan, but then you no longer have access to that money. With the Heloc you will still have access to that extra money you just paid to the mortgage.

There is no magic to it. It works when one uses the entire process. So often the opponents of this strategy only point out the math and not the whole process. The whole process is what makes it work.

So get a Heloc on your rental and put the entire rent to the Heloc while still maintaining some liquidity.

There are multiple threads over several years debating this subject.

Donate the $1000 to a charity of your choice.

PenFed advertises for the product you seem to want.

@Linda Labbe

I would vet out whichever PM you are thinking about using. I am currently in contract with HoltonWise PM. My experience with them has been both good and bad. The good was three years ago when I first started with them. They were very attentive. This was just before their rapid expansion. Recently, the last year or so, it has been rough going. They seem not to have time for the "small guy" any more. This is just my experience.