Darn Seasoning Clause

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Maybe you guys can suggest how to find a solution for this problem:

1. Purchase $100,000
2. Appraisal $130,000
3. Balance: $95,000
4. Equity: $35,000
5. Residential (condo/townhouse/home)
Ownership: less than a month.
Problem: Can't get the equity out
with a second mortgage! Most brokers are saying 6-12 months "seasoning" for a 2nd mortgage. OR...refinance in 12 months to pull the equity out.

What options does an investor have to tap into that equity more quickly????

Please advise if you can. Thank you.

Comments(2)

  • lildell5th September, 2003

    try a heloc at a bank, or i know one other place , PM me for the other info.

  • Vern5th September, 2003

    Hello roiclicks,

    Yes, it can be done. It will cost you about 3,500 to work the deal. Part of that 3,500 will be your tax escrow. They will allow you to do up to 85% of the appraised value. Not all mortgage companies require seasoning. There maybe a early pay off fee on your current loan, if not then you can pull the money with little effort. at 85% I you have around 17k after closing cost that you can pull, based on the 90k first loan.

    I don't know which state you are in, but contact Select Mortgages at: **Please See My Profile** Tina will be able to take care of you. Don't mean to push any company over another, but I was able to swing the deal with these people.

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