Getting around extemely restrictive mortgage. - Posted by EdithandAllan
Posted by EdithandAllan on March 28, 2000 at 14:16:46:
Please help me out. Due to inexperience and credit problems, my mother is locked into a very bad mortgage. She used the equity in one income property to finance a new property, resulting in two ARMs at a two-year rate of 13.45%. The interest rate at that time will never be lowered, but may be raised. Additionally, there is a prepayment penalty of six months of interest.
In a matter of a few weeks all four apartments will be rented, instead of having having a no-verifiable income situation. Is there a way to get out of this mortgage and refinace once the apartments are all rented. I would appreciate any help and suggestions offered.