Is it possible to mortgage a house for more than it is worth if the owner of the second mortgage doesn't agree
Monday, 21. June 2010
Our broker from a couple years ago on a refinance said our second mortgage wasn’t an actual second mortgage but a personal line of credit, so they refinanced us for the full value of the house. They did not contact the second mortgage company about this and never got them to agree to be the second mortgage to the first company’s refinance.
How do I find out if the second mortgage IS a second mortgage and isn’t the broker supposed to make sure everything is legit?
Mark C Says:
Check with your County Clerk’s office to see if the second is recorded as a mortgage. Next, look at your paperwork and see if it is a mortgage or just a loan.
If you got a first mortgage, they probably already checked this out, but nowadays it would be good for you to know for sure.
frak1a12345 Says:
It amazes me that you don’t know about your own home financing. Check your paperwork for the ‘second mortgage’. If you did not pledge the property as collateral it is not a mortgage but it is a personal loan. I suspect it is a personal loan because if it were a mortgage it would now be the first mortgage and your refinance would be a second mortgage which the lender would probably not have agreed to.