Second Mortgage Information

Bessie Said:

Where can I find information on clean energy loan financing?

We Answered:

I believe in solar panels, but not enough to ruin my family's life with debt.

Derrick Said:

I bought a second mortgage?

We Answered:

Actually its depent on whats in your mind. If you think there is another way that you can have profit back... There will be !

Elsie Said:

My mortgage bank is offering me to pay my second loan at a reduced amount. Should I take it?

We Answered:

I'd jump on that immediately. That's an unbelievable offer. Go talk to a CPA and see what the tax consequences might be. Then go and refi the 1st TD on a 15 year loan at about 4.5% full amortized.

Kristen Said:

What is the difference between a mortgage and a second mortgage?

We Answered:

They have the same purpose - to finance your home.

They are numbered in terms of who is owed first - the first mortgage gets their money before a second mortgage would.

Usually, the first mortgage will finance up to 80% of the home's value and the second will finance the remainder (up to 100%) This is done to avoid private mortgage insurance (PMI).

Typically, second mortgages are higher risk and because of that, they have higher and/or variable interest rates.

Hope that helps!

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