AboutAl Rodenburg Expertise Well...looks like I can see the light at the end of the tunnel (and it's not an oncoming train!).
Seriously...for the last several years, underwriting guidelines have continued to change and become more restrictive; but it finally appears that they are heading in the "right" direction.
My goal has always been to help the consumers and investors, as well as making the process as quick and transparent as possible. If you'd like to contact me directly, visit mortgageoffice.com.
Experience Over 12 years, originating primary residence and investment propery mortgage loan financing - with an emphasis on making the process as simple and quick as possible for the consumer.
Education/Credentials Principia College, Florida State U.,University of Illinois-Chicago, Roosevelt University and Lake Forest School of Management.
Question I live in Ohio and may be moving from my present location in a few years. I would still be living in Ohio, just in a different part of the state. I will be moving in with a friend who has a house that is paid for. I currently have a first and second mortgage on my house and due to the economy, my mortgage balances are more than my house is valued at; there is no equity in the home. My friend said I should rent out my house but I seem to remember something either on the mortgage papers or maybe it was on my tax returns, that stated I must occupy the house. I can't find my loan papers so I am not sure about that. It is not possible for me to sell my house under the circumstances, is it? I might add this is not an FHA loan and I am current on my payments and in no danger of foreclosure. Thank you.
Answer Typically an owner occupied mortgage loan has a certificate of occupancy or ownership certification of some type, which essentially says that you warrant that you will live in the home for at least a year and if the lender finds out that you are renting the house out and no longer live there, that they can call the note due and payable upon demand. a. - I wouldn't expect any lender would go to those lengths in this type of market and b. - it sounds like the time you move out it will be over 1 year of ownership.
IF it were me, I would rent the home out ASAP as long as there is a positive cash flow which covers your mortgage, taxes, etc.
Of course I am not an attorney and not conversant with your exact loan, so I would strongly recommend that you contact a legal professional locally, to assist you.
My best to you,
- Al
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