| Posted By |
Message |
MommaG
Yay Spring!
Member since 5/05 5133 total posts
Name:
Gloria
|
Mortgage question
We are looking to expand our house and are considering our finance options. Someone asked me if we could get an actual second mortgage - not a home equity loan or HELOC, but an actual mortgage just for the amount of the improvements (and leave our original mortgage intact). I told her I don't think so, I think you can only have one actual mortgage. Does anyone know for sure? Thanks!
|
Posted 7/3/06 6:30 PM  |
| |
|
Prudential Douglas Elliman Real Estate
Long Island's Largest Bridal Resource | Long Island Weddings |
Blu-ize
Plan B is Now Plan A
Member since 7/05 32475 total posts
Name:
Susan
|
Re: Mortgage question
If you are taking out a loan to make home improvements you can take out a personal loan or a home equity line. Either way your original loan will be intact. A home equity loan or line of credit is based upon the equity in your home. It will not effect your first mortgage.
|
| Posted 7/3/06 7:45 PM |
| |
|
MommaG
Yay Spring!
Member since 5/05 5133 total posts
Name:
Gloria
|
Re: Mortgage question
But you can't take out an actual second mortgage, right? To get the better rate?
|
| Posted 7/3/06 8:12 PM |
| |
|
BabyAvocado
Happy New Year
Member since 5/05 17334 total posts
Name:
|
Re: Mortgage question
Posted by MommaG
But you can't take out an actual second mortgage, right? To get the better rate?
Yes you can. It's almost like a HELOC with a fixed rate instead of a variable. Closing costs and terms will vary but it's definitely possible.
|
| Posted 7/4/06 9:30 AM |
| |
|
charon54
My two boys!
Member since 5/05 7279 total posts
Name:
Rebecca
|
Re: Mortgage question
DH works for Washington Mutual. They offer a home equity with no closing costs that has a fixed rate option. Basically, you can lock in the rate for all or a portion of your equity and then you can unlock and relock if the rates go down. It has no closing costs. We actually have this product for our own home. Feel free to FM me if you want more info. June262004 works with my DH too if you want to FM her.
|
| Posted 7/4/06 9:59 AM |
| |
|
MommaG
Yay Spring!
Member since 5/05 5133 total posts
Name:
Gloria
|
Re: Mortgage question
I was thinking of getting an actual second mortgage because mortgage rates are lower than the home equity rates (HELOCs or loans). I know the HELOCs start out lower, but adjust higher. I wanted a fixed rate second mortgage - not a home equity loan, not a HELOC. Is it possible?
|
| Posted 7/4/06 11:55 AM |
| |
|
charon54
My two boys!
Member since 5/05 7279 total posts
Name:
Rebecca
|
Re: Mortgage question
There is no such thing as a second traditional mortgage. That's why I mentioned this product. With the Wamu home equity, you can fix the rate. It will not change once you fix it, unless you want to unfix it (which you would only do if the rates go down). I will FM more info.
|
| Posted 7/5/06 8:56 AM |
| |
|
