My daughter bought a house with her fiance in 05′ (in California) they have a first and a second. The second is fixed but the first is a variable and the interest rate is doubling. They put no money down and the first was an interest only loan, therefore there is no equity and the house has declined significantly in value due to the market. Also, she has ,000 in credit card debt. I am thinking they just might be better off if she files for bankruptcy at this point (yes she has learned her lesson) and perhaps in the future they can purchase another home maybe even sooner since he has pretty good credit, housing prices are a lot lower and he could qualify for a loan.
Posts Tagged ‘interest only loan’
Should I try to hold on to my home or let it go into forclosure?
Saturday, November 14th, 2009We owe 5,000 on our house and it’s now worth about 0,000. We have an ARM that is going to reset in Jan 09. We definitely can’t afford the ,000 jump in payment. Called the mortgage company (Ocwen) and they said we do not qualify for the government’s freeze on interest rates program because our ARM was for 3 years instead of 2, but they said call back closer to the time the loan is set to reset and they’ll work with me. Somehow I doubt it and I don’t want to pay my ,100 property tax bill on the house if I’m just going to lose it in the end. Plus, I’m thinking about all the money we could save every month if we let it go and just rented a house. We’d save about ,000 a month on rent and ,000 a year on property taxes. Why hold on to a house that costs too much and has no equity? Not to mention it’s an interest only loan, so paying it off will NEVER happen. Please give me your advise. Is foreclosure really so bad? My credit score is already low (610)
I need to refinance!?
Wednesday, September 2nd, 2009I have an interest only loan. If i don’t refinance my payment will go up 5 dollars. I have no equity. My credit score is 696. I think the home values went down too. Is it even possible?
Bad Credit – I have two loans on my condo?
Tuesday, August 25th, 2009The smaller loan (43K) will be due in June of this year and I definitly don’t have 43K laying around. When I first signed on for this loan I thought it would be simple to refinance such an amount. But b/c of the state of the housing market and my credit not being so good, i now fear it won’t be so easy to refi.
Is there such a thing as a consolodation loan for a mortgage? Since this amount is an interest only loan wich means no equity what are my options in saving my home and my sanity?
**starting to panic a bit***
Is a quick sale an option?
mortgage refinance right for us?
Monday, August 3rd, 2009I have a 1.30% negative am loan that i need to get out of, i currently owe 650,000.00 for both my first and my second, my question is can i get a loan that is not a negative am loan and have my payments at 2,450.00 including my taxes? Even if i have to get myself into an interest only loan for the first 3-5 years or so, by then my wife and i would be off better financially and can refinance into something fixed. My home is worth about 750,000 so i still have some equity in it and have had this negative am loan for about 2 1/2 years now. I was on lending tree and put my info in the mortgage calculator and it brought out different scenarios and one did have a payment of 2,450.00 is this realistic? i pay 8,200.00 in real estate taxes a year.
Mortgage Refinance?
Sunday, August 2nd, 2009I have a 1.25% negative am loan that i need to get out of, i currently owe 673,000.00 for both my first and my second, my question is can i get a loan that is not a negative am loan and have my payments at 2,500.00 including my taxes? Even if i have to get myself into an interest only loan for the first 3-5 years or so, by then my wife and i would be off better financially and can refinance into something fixed. My home is worth about 750,000 so i still have some equity in it and have had this negative am loan for about 2 1/2 years now. I was on lending tree and put my info in the mortgage calculator and it brought out different scenarios and one did have a payment of 2,400.00 is this realistic? i pay 8,000.00 in real estate taxes a year.
I realize i cannot get an interest only loan plus get my taxes paid for 00.00 So can i get a payment of 00 without the taxes? for 673,000?
Where can I refinance my home with bad credit scores even though I own 75% of it.?
Wednesday, July 29th, 2009It seems nobody will touch me, I need the money to pay off some debt to increase my scores. It’s a catch 22. They say pay off some of these delinquent accounts to get your scores up and we will loan you the money. Well ,I need the money to get my scores up. I don’t get it, all I need is 15m. I have 150 thousand in equity on a 200 thousand dollar home. Right now I’m paying 0 a month on a interest only loan (12%) to a loan shark. I should be able to get a 7 or 8% loan if I could get my scores up. You would think with that much equity I wouldn’t have a problem but I guess it doesn’t work that way. What can I do?
my friend had a home equity line of credit?
Saturday, July 11th, 2009recently he got a letter from home equity line of credit bank’s attorney saying that they are trying to collect debt and all that, he doesn’t have the money any more so what happens, now, what are his option filing a bankruptcy or?
Getting a loan from overseas….taxed or not?
Friday, July 10th, 2009This is a complicated situation but I am going to try to explain this as easy as I can. My in-laws are dutch. They live overseas and are loaning us 56k to pay the second mortgage of our house. The reason they are doing this is they want us to have more equity in our house than just 5% (we will have 20% after we accept their money). They cannot just "gift" us that amount of money overseas because their government will tax them so they actually have to charge us 3.5% interest (the lowest rate they can) for an interest only loan. I have several questions about this…1. If we transfer it, can we transfer the entire amount without getting taxed on it here (if a k amount hits our bank account in the US, I think they will alert the IRS..right?)? Should we transfer this in smaller amounts little by little.
2. We will be setting up an American account to pay the interest back to them monthly. We are currently paying 8.12% on our second mortgage….so we will save 0 a month with the loan
Related ‘interest only loan’ sites :
| Interest-only loan - Wikipedia, the free encyclopedia An interest-only loan is a loan in which, for a set term, the borrower pays only the interest on the principal balance, with the principal balance unchanged. ... en.wikipedia.org/wiki/ | |
| Interest Only Loans Mortgages Rates Payments Home Interest-only loans can reduce your mortgage rate and payments for only a few years. mortgages.interest.com/ | |
| Interest-only loan: Definition from Answers.com Interest-Only Loan 1. Mortgage in which the borrower pays only interest for a set term. At the end of this term, typically five to ten years in the www.answers.com/topic/ | |
| Interest-Only Loans (also known as Interest-Only Mortgages) interest-only loans, also known as interest-only mortgages www.interestonlyloan.ws | |
| Interest-Only Home Loans - Quicken Loans So many myths surround interest-only mortgages. Get the facts at Quicken Loans on how an interest-only home loan allows flexible payments and the security of a fixed rate. quickenloans.com/... | |
| Interest Only Loans - Mortgage, Consolidation and Remodeling ... Interest Only Loans, LIBOR Loans, Mortgages and more. Research and apply for Interest Only Loans. www.interest-onlyloans.com | |
| FDIC: Interest-Only Mortgage Payments and Payment-Option ARMs These numbers are only examples; your balance will depend on the type of loan, the interest rate, and how often the interest rate changes. Monthly payments. ... www.fdic.gov/consumers/ | |
| Interest Only Loan - Definition of Interest Only Loans and ... A definition of an interest-only loan,also known as an interest-only mortgage, in which the borrower's monthly payment is only towards the interest. useconomy.about.com/od/ | |
| Interest Only Mortgage Rates, Home Loans, Interest Only Loan ... Interest only mortgages, Loans, Adjustable Rate Mortgage, lower payment via interest only www.erate.com/ | |
| Interest-Only Loan Definition: To compute an interest-only payment, multiply the original balance of the loan by the interest rate and divide by 12. Interest-Only ... homebuying.about.com/od/ | |