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A comment on The U.S. Housing Market vs. the Canadian Housing Market. Parent comment

Re:The U.S. Housing Market vs. the Canadian Housing Market by DonsDiscountGas on Saturday September 09, 2023 @04:44PM (#37450095)
They would still need to pay back the HELOC using actual cash, not unrealized gains from estimated home value. Seems like an extremely small benefit.
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Re:The U.S. Housing Market vs. the Canadian Housing Market by compiler-guy on Saturday September 09, 2023 @05:21PM (#37450409)
A large part of the 2008 housing crash in the US was driven by HELOCs where the borrower ended up not being able to repay or refinance. Such loans can be a good way to access the value of the home, but only at the expense of reduced consumption while paying the loan off or reduced payout when it finally selling.
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