I am interested in taking out a second mortgage. I don't really want it for thirty years . Can I get it for 30 anyways and pay it off early without penalties. I only need like 35000.
I took out a second mortgage to get some new windows in my last house. I had some equity built up in it, so it wasn't difficult to qualify. Based on the small size of the loan (about 10K, I only financed it for 6 years.) I asked at the time and they said there would be no penalty for paying it off early. Ask to be sure. And when paying extra payments, but sure to specify it go towards payment of the principle, not the interest.
Has anyone ever taken out a second mortgage?
is bill consolidation using your home on a second mortgage a good idea?
I have qualified for a bill consolidation loan which will give me a second mortgage plus cash out and pay off my credit cards making one payment and I could really use the cash to start a business.
no man.
never roll unsecured debt(c.c.)in with secured debt like your home.
ask suze orman.
Can I renagotiate with bank holding a second mortgage so that the bank will agree to be second in importance?
I read somewhere that banks that hold your second morgage can agree to be of secondary importance so that my primary resonsibility is my first mortgage even to the exclusion of the bank that holds my second mortgage?
In WA, the first mortgagee has priority as a creditor, and would be holding the Certificate of Title deed as security.
Any subsequent mortgages must have the approval and authority from the first mortgagee to register a mortgage on the title deed.
For the 2nd mortgage to be registered, the first mortgagee must produce the Title Deed to Landgate (the govt title office) so that the second mortgagee can lodge the mortgage document for registeration on the title deed. The title deed will be returned to the first mortgagee for security. Never held by the 2nd mortgagee.
Your second mortgagee will have obtained a search-copy of the title deed and will be fully aware there is already a mortgage registered on the property, and second mortgagee cannot insist or demand they be first.
There is a variation on the theme. Anybody who has documented evidence that they have an interest in the property, can register a Caveat on the title, without the authority from first mortgagee or the owner, and without the necessity of having the title deed produced for lodgement/registration of the Caveat. The Caveat document will state that the Caveator has a financial interest by way of mortgage. But a Mortgage document is NOT actually registered on the title.
If you already have two mortgages registered on your title deed, the first mortgagee will NOT give up their right as first, unless you have fully paid out the loan and it is discharged. Then the 2nd mortgagee will become the first.
In California, after foreclosure, are you still responsible for your second mortgage?
What kinda of recourse do the lenders have? Is it different between the first and second mortgage?
If the second also went into foreclosure, and the bank took the house, can the lender of the second mortgage still come after repayment through lawsuit or wage garnishment, etc? The house resold for less than the original loan amount of the first so there were no proceeds from the sale to cover any of the second.
Yes, you are fully responsible for the second, third, etc. You only owe state income tax on the first if you never refinanced it.
what does it mean when someone is buying a home and they have to have a first and second mortgage?
and who is the second mortgage through..i know people with poor credit scores usually have both from the beginning but who does the buyer have the second mortgage with and how does that work?
There are several things to mention here.
One is that they probably didn't have a down payment, or atleast a down payment that was less than 20% of the purchase price.
Also, the second mortgage normally has a higher interest rate.
Your Credit scores have nothing to do with whether or not you have or need a second mortgage.
Often times, a lender will finance both the 1st and 2d mortgages.
Sometimes you can just get 100% financing with one loan but you'll have to pay PMI (private mortgage insurance). PMI covers ONLY the lender in case you ever default on your loan. Taking a split mortgage like an 80/20 lets you avoid the PMI because neither mortgage is more than 80% LTV by istelf, which is the cut-off point for the PMI requirement.
You'll also have two checks to write each month instead of just one.
I think that covered most of the main issues, I hope my answer helped.