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Real Estate Home Mortgages/Rent to Own's impact on my Mortgage


Hi, I'm currently evaluating a situation, hoping for some help.  I purchased a townhouse in 2002. A couple years back, I got married and moved out.  It's been a couple of years and given we are not willing to lose too much on the property, it's still for sale.  I've never been late on making mortgage payments, everything is current.  We just had someone proposing a rent to own option.  The option seems attractive as at the very least, we'll have assistance on the mortgage.  But, we've heard that if your house is no longer your residence, the mortgage rate could change.  Can you please explain how that works?  If it does become rent to own, it means I need to formally inform my bank? How will that impact my rate? Thank you for your time.

Your rate cannot change. Look at your promissory note... If your rate could change it would have to be spelled out there.
Your insurance might need to be adjusted..... You don't want to be caught short there..... definitely contact insurance and inform them that you are converting the home to a rental.

I strongly advise the use of a real estate atty in setting up the rent to own deal!!!

About Real Estate Home Mortgages
This topic answers questions related to purchasing a home, owning a home, home ownership, mortgage education, mortgage applications, and mortgage needs whether buying a first home or refinancing a current loan. Issues related to home ownership, home equity, mortgage education, refinacing options, home improvment finacing, first time home loans, home equity loans, vactation home loans, and mortgages for investment homes are dealt with here also. Though not the primary focus of this topic, Home Equity Lines of Credits (HELOCS), reverse mortgages, and calculating home equity may also be asked. If you do not see your home mortgae, home finacing, or home equity question answered in this area then please ask a question here

Real Estate Home Mortgages

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Tom Burris


I can answer any question regarding Mortgage loans for Purchase or Refinance. I currently work as a Mortgage Banker in Dallas, TX and have experience as a Mortgage Broker. The favorite part of my job is helping First Time Home Buyers. I also consider myself an expert of Credit and Credit Qualifying for a home loan. Many of my loans are the result of showing clients how to credit qualify for a loan after they were denied in the past. We do FHA, VA & Conventional Financing. I have extensive experience in Investor Loans as well. I will NOT answer questions about 'getting around guidelines', ect. Or if I sense that you are trying to call your 'investment' property a primary residence, I will reject the question. I will ALWAYS err on the side of caution if I sense that the question is fraudulent in nature.


7 years experience as a Mortgage Broker and as a Mortgage Banker

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Mortgage Professionals in Texas are required to take many ethics courses and other industry training to satisfy State mandated continuing education requirements.
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