Posted by B.L.Renfrow on July 03, 2003 at 03:43:41:
First, the terminology lesson: you GET a loan; you GIVE the lender a mortgage in exchange. Yes, I know the term is misused all the time, but it’s an important distinction.
The best thing for you to do would be to pull a copy of your credit report and go talk to some lenders or a good mortgage broker and ask them. They should be able to look at your situation and tell you right away which would be the best option. Either way, the financing is in your name, so it’s just a matter of getting the best deal.
My father has a 3BR rental house he would like to sell me which he has owned for the last 10 years(I would keep this house as a rental-I already own my house). Owes about 64K on it. It has an assumable mortgage(30 year) to a blood relative(me). However, it has an 8.75% rate and a 1000.00 charge for adding me to the mortgage. My question is should I assume the mortgage and refinance, or should I get my own loan at a lower rate? What are the pros/cons to these choices. Right now I am applying to purchase this-I dont know if I could qualify or not for buying a second home…I am assuming that I will. I just refinanced my own house about 6 months ago and have about 7000 saved from that.