Also: don't believe the hype. Still plenty of people eligible for and taking HELCs.
..............
In February of this year, while ice lingered on sidewalks and hornet queens slept, dreaming of nests and picnic raids to come, we began to read reports of people -- HELC recipients -- receiving letters from their lenders.
'Dear HELC'er', the letters started, 'due to falling home values, we regret to inform you that your HELC is no longer $100,000.00, but has been reduced to [for example] $5,000.00. There, there sweetheart, we're as disappointed as you are but chin up! Although that new car is out-of-reach (at least using your HELC) you can still buy a really nice PC: a gaming system with all the fixins! Better hurry though; at the rate values are declining we might readjust the HELC to the cost of a bottle of Purell. We're kidding (sorta).
Sincerely,
Your Bank
P.S. In months to come, we may cease to exist, disappearing in a cash-a-geddon spawned puff of un-smoke. Carry on!'
...
So yes, 'plenty of people' are still qualifying for and receiving HELCs but for how much money? And how are these approvals distributed across the US? Are HELCs still generous and plentiful in the Midwest (where, going out on a limb, I'll guess that home values have remained relatively stable) while growing scarce and stingy in SoCal?
.d.