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To: usconservative
I'm not fully fluent in HELOC agreements however don't those involve a loan for a property in which the borrower has equity in the property? That's not the case with Manafort.

Every property purchased with cash has 100% equity for the owner...that was very much the case with Manafort.

A home equity line on such a property would be standard for any investor and those equity lines are typically convertible to a standard mortgage at the request of the customer.

Manafort could have easily bought a property for $1M cash, then tapped the equity line on it for $700K to finance his next cash purchase, then tapped the second property's equity line for $500K to finance his third purchase.

Completely legal and a common place practice for many investors.

130 posted on 07/22/2017 5:29:10 PM PDT by mac_truck (aide toi et dieu t'aidera)
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To: mac_truck
Every property purchased with cash has 100% equity for the owner...that was very much the case with Manafort.

I had completely mis-stated my thought process and am only catching that now, so my apologies. You're correct, that's exactly what Manafort did and that was my understanding.

What I attempted to say and poorly communicated was that my very limited understanding of HELOC agreements involved properties for which a buyer/owner had some equity in with a loan to cover the remaining balance and then took out a loan for the value of the property.

That itself is likely incorrect too, so I very much appreciate your explanation. Thanks for adding to the discussion and your patience.

138 posted on 07/23/2017 4:28:40 AM PDT by usconservative (When The Ballot Box No Longer Counts, The Ammunition Box Does. (What's In Your Ammo Box?))
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