Is there anyone out there that can help with adjustable rate mortgages on investment properties?

grumpandmurf · Joined: 15 Dec 2008 Posts: 1 1.39 Dollars($)

Is there anyone out there that can help with adjustable rate mortgages on investment properties?...Hopefully someone else can help here. I bught these places thinking the rental business was nealry free money with little or no work to it at all. Now after 4 years and adjustable rates being in effect for a year I have no where to turn. I have searched high and low, but I don't know what it is that i am looking for maybe some type of low interest consolidation or??? Please help don't know how much longer i can hold on to these places!!! Thanks in advance

elnoralittle · Posted: Mon Dec 15, 2008 7:05 pm Post subject:

Lets start with a few questions..
first, how much do you owe and about how much are the properties worth.
Second, are you current on all the payments, or have you been late recently?
Third, how is the rest of your credit.

My mortgage company will do a refi on a rental, but there needs to be 80% into the value.

Have you considered selling?

jameshogg · Posted: Mon Dec 15, 2008 8:03 pm Post subject:

Hi grumpandmurf,

Did you check with your current lender whether he is ready to refinance or not? If you are current on your payments, then there are chances that the lender will be ready to refinance the properties. If your current lender is not ready to do the refinancing, you can even contact other lenders.

But the lender will not be ready to refinance if you have defaulted on the payments. You can also try selling the property as Elnora has suggested. You can list the properties in the market and check if you can get good buyers.

Thanks

Posted: Tue Dec 16, 2008 4:28 pm Post subject:

elnoralittle and jameshogg,

First off i am current on my upside down morgage, Yes i have considered selling but i am new to that and don't know how i can take a loss on these properties and the mortgage company release deed. Any ideas please explain!!!

My current lender called a couple of months ago to refinance and claimed that they couldn't do anything because i no longer live at this property. They told me they would need 20% down. The building appraised at 70,000 over two years ago but now with the market down i can't see getting that appraisal again. I am looking at 63000 i owe on it so that leaves me with 7000 i need if the appraisal would come in at 70,000. Second mortgages on one rental and my home already.

I hope you guys can help me through this!!!!

Niicss · Posted: Wed Dec 17, 2008 2:08 am Post subject:

Hi Guest

You can contact your lender now and once again check out if the lender is ready to do a refinance or not. If you cannot afford a 20% down payment, see if a private mortgage insurance (pmi) will help you in getting the refinance.

If it does not work for you, then you can list the property in the market and try selling it off. You can also contact with the lender and try for the option of a short sale. But as you are current on your payments, chances are less that the lender will accept a short sale.

Thanks.

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