Buying a home question

[Rain.]

This is probably a really dumb question but Im curious.


If a person gets a loan for say 200,000 to buy a house. Then they find a house they love for 150,000. What happens to the difference? Does the bank just keep it and your loan is only for the 150 or do you get the difference for home stuff?

p.s we arent buying a house, Im just curious still from when we were talking about it.

[Cobysmom75]

No, you just get the amount you need for the home. They just pre-approve you for the highest amount of money they will lend to you.

[Rain.]

Originally Posted by Cobysmom75 No, you just get the amount you need for the home. They just pre-approve you for the highest amount of money they will lend to you.

Thanks Claudia. I figured that was the answer.

[Cobysmom75]

Originally Posted by Rain. Thanks Claudia. I figured that was the answer.

There was a time...not so long ago...when the economy was good, and things were great, and you could take out a home equity line of credit to get that extra money. Those days are long gone now *crying so hard*

[Rain.]

Really? Im not surprised they dont do it now. Our economy is screwed hard core.

[Cobysmom75]

Originally Posted by Rain. Really? Im not surprised they dont do it now. Our economy is screwed hard core.

Yea, tell me about it. I am probably going to lose my home in California when my loan resets next year.

[Rain.]

Originally Posted by Cobysmom75 Yea, tell me about it. I am probably going to lose my home in California when my loan resets next year.

Loans reset? I know nothing about buying a house other than you'll be old when its paid off LOL