What is the name of your state? Well, I'm in Arizona, but. . .
My friend in California wants to refinance his personal residence.
The house is in Lake Forest, CA, with a value of about $700k.
Existing mortgage balance is about $230k. Thus, lots of available equity.
His FICO score is above 800, though he has now been out of work since late December.
He doesn't really Want any "cash out" from the refi; just to get a lower interest rate.
The problem: some finance people think the "current unemployment" makes this impossible.
A Solution?: sorta' like "creative financing": take $100k "cash out" and put those funds into
a DEDICATED account of some type that can ONLY be used for future mortgage payments.
That should satisfy a lender. Yes? No?
Questions:
WHAT type of account would that be?
HOW would it be created, to assure the lender that mortgage payments ARE Covered?
Thanks, people.
Mark2365
My friend in California wants to refinance his personal residence.
The house is in Lake Forest, CA, with a value of about $700k.
Existing mortgage balance is about $230k. Thus, lots of available equity.
His FICO score is above 800, though he has now been out of work since late December.
He doesn't really Want any "cash out" from the refi; just to get a lower interest rate.
The problem: some finance people think the "current unemployment" makes this impossible.
A Solution?: sorta' like "creative financing": take $100k "cash out" and put those funds into
a DEDICATED account of some type that can ONLY be used for future mortgage payments.
That should satisfy a lender. Yes? No?
Questions:
WHAT type of account would that be?
HOW would it be created, to assure the lender that mortgage payments ARE Covered?
Thanks, people.
Mark2365