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I only owe $ 26k on a mortgage of 9.75% interest. How should I pay it off quickly? The company who owns my mortgage won’t refinance nor will a bank or credit union because it is an older mobile home. The plan was to buy this property, remove the mobile home & replace it with a new home (stick or mfh). However, I did not realize this mortgage had to be paid in full before I could start the construction project. Ooops!
What options do I have? What would you do? Borrow from a 401k? Get a Signature loan at a lower interest rate? or ???

3 Thoughts on What would you with a high interest rate mortgage?
  1. Reply
    the kid
    February 9, 2014 at 3:50 pm

    Pay excess each month.

  2. Reply
    Landlord
    February 9, 2014 at 4:30 pm

    I doubt you could find another loan (would have to be personal) for lower interest.

    I would just pay another 1 or 2k a month and get it paid off.

  3. Reply
    BiggRoss
    February 9, 2014 at 5:06 pm

    If you build a new home you could see if you could have the 29K lumped in with the new construction loan. What usually happens is there is a mortgage on the land, then a secondary mortgage on the construction. Once the constrution is completed, at closing the lender lumps both the loans together to make only one loan. That may work in your situation. You would have to check with the lender of the construction loan.

    Ross

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