Quote:
Originally Posted by sebastian_dangerfield
Our lines aren’t tied to the home. Different lenders. Always kept them separate for this kind of reason. Also, no personal guarantees of mine for business. And we’re tenancy by entireties state, so we’ve leverage of being judgment proof. No collection ability. And I drew down business lines in early March, when I heard P/E was doing it.
We paid the home mortgage this month too. I don’t want a balloon coming out of this. The SBA PPP line (why not take one... it’s 0% interest forgivable) requires it be used for employees and rent.
I got 6 months of runway, and then shit gets dicey. But as I said, three more months of this and you and I will be kicking ourselves for paying anything on homes that won’t be worth much without gun turrets on the roof. This goes bad a lot faster than anyone thinks. Fed can’t fix this one. No money cannon can do it.
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Different lender is one thing but lenders HAVE to be pulling credit reports now. If Bank A sees you asking for a bailout from Bank B I wonder if they reduce that credit line to zero.
I haven't tapped any credit lines yet but I haven't rushed to pay bills early.
The way I look at it is if we turn into The Walking Dead and the money in your account isn't useful, actual cash would be less useful. You never see Carol paying for stuff with fives, do you but last season in, Carol was living in a cute little shack she found.
The only thing is if Elizabeth honey, I have the big one, and the house is paid for, my wife and kid really don't have to worry about anything $ wise for a while. As nice as it sounds to pack up the cash and walk over the border to Canada (I know the hidden spots) there's too much equity in this house to just walk away unless we turn into Venezuela.
And if shit does turn around, I am predicting a fire sale on Manhattan real estate and a mad rush to the burbs so I can be like this guy and ask for $20 million.
