Mortgage loan vs Personal loan to buy a house?
Posted in Renting & Real Estate on 02/12/2010 01:39 pm by admin
Anna V asked:
I live in Texas and there are a couple of small homes for sale for about $50.000.
Should I try to get a personal loan and pay it of in 10 years or rather a mortgage loan and pay the house of 30 years? How easy is it to get a personal loan for $50.000 if you have an excellent credit history?
ALFRED
I live in Texas and there are a couple of small homes for sale for about $50.000.
Should I try to get a personal loan and pay it of in 10 years or rather a mortgage loan and pay the house of 30 years? How easy is it to get a personal loan for $50.000 if you have an excellent credit history?
ALFRED
02/13/2010 at 1:38 am
BART
A personal loan…you cannot tax deduct the interest.
You can on a mortgage….along with property taxes.
That is the difference.
PS: Many banks will do mortgage loans for 10 years….that is usually the minimum term.
02/16/2010 at 12:48 pm
JOESPH
A Mortgage loan will have a much lower rate!
Plus it will be better for tax purposes.
You can get them to do a mortgage for 15 years and pay it off sooner, or I think they even have 10 year loans.
A $50,000 personal loan will be very hard to get even with excellent credit history because it is “unsecured”.
Get the mortgage.
02/18/2010 at 5:07 pm
BUDDY
Forget the “personal loan” idea. You need a mortgage loan – they don’t have to be for 30 years.