it's based on the expected future market value of the house, which is mostly based on its current market value.
------------------------ Jim Devine [EMAIL PROTECTED] & http://bellarmine.lmu.edu/~jdevine > -----Original Message----- > From: joanna bujes [mailto:[EMAIL PROTECTED] > Sent: Friday, October 31, 2003 12:42 PM > To: [EMAIL PROTECTED] > Subject: Re: [PEN-L] PK on GDP surge - what could a socialist say ? > > > Here's what I'm curious about: I buy a house for 300,000. Within five > years, the house is valued at 500,000 (not unusual in the Bay > area); now > I re-finance. Is my "collateral" based on the portion of the 300,000 I > have paid off? Or is it based on the revised market value of > the house? > > Joanna
