Do banks give a hard time for seeking a second mortgage?

Guest 0.10 Dollars($)

We are paying a mortgage on a apartment but would like to buy a home as well as keep the apartment. We want to rent the apartment with the rent covering the current mortgage and maintenance, such that more money can be saved for the new mortgage on the home. Do banks give a hard time for getting a mortgage when we already have one? Anything else that we should be concerned about?

helping_user · Posted: Tue Jun 05, 2007 5:24 am Post subject:

Hi Jannis,

Welcome to our Community.

Definitely you can get second mortgage. But it depends on your affordability. So, bank will first verify your financial status and if they get satisfy then surely they will lend money for your new home.

Thanks

adonis · Posted: Tue Jun 05, 2007 5:33 am Post subject:

Hi Jannis,

The main thing you should concern about your financial conditions, having good credit score, and your existing loan status mean to say no default payment.

Guest 0.10 Dollars($)

If you offer the apartment for rent, you will be held responsible to the homeowners association for the way your tenants behave. Renters usually do not have the same level of consideration for a property and their neighbors as the owners have. You need to ask the homeowners association as to whether it will allow you to offer the apartment for rent. Also, you need to enquire if you need to pay if your tenants break the rules of the association.

Guest 0.10 Dollars($)

0.10 Dollars($)

Hi Jannis,

You can go for a second mortgage. The interest rates on a second loan are higher to that of the first loan. But it depends on your affordability.

adonis · Posted: Wed Jun 06, 2007 4:12 am Post subject:

That's true Braunstein, Jannis is likely to get a lower rate as he is looking for a mortgage when there's already one on his apartment and he hasn't paid it off completely. And, it will depend on how his credit rating is like.

All times are GMT - 7 Hours

Page 1 of 1