HELOC Piggyback 2nd Trust Mortgage

March 30th, 2015

Getting a 2nd trust mortgage when you bought a home, called a “Purchase Money 2nd trust,” was something I had never heard about when I got in the mortgage business in 1986. I’d always thought a 2nd trust was something you got when you lived in a property for a long time and had built up a lot of equity (i.e. an equity line) and then wanted to tap the equity for home renovations or debt consolidation. However, 2nd trusts to help purchase a new home became common in the real estate boom Read the rest of this entry »

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The Refinance Boom is not Over? Refinance Your HELOC!

January 23rd, 2014

Actually, the refinance boom is indeed over; however, there are a fair amount of people that still need to refinance. There are a stunning amount of home equity lines (HELOCs) outstanding and most people will need to refinance those. Most HELOCs were set up so that the first ten years of the loan only require interest only payments and no principal is due. Then, in year 11, the principal would start to amortize, and it amortizes over 20 years, not 30. This is a problem because Read the rest of this entry »

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