Mortgage Blog

Here is the qualification:
1)LTV<=75%
2)Loan Amount up to 900k.
3)There are 3 year pre-payment penalty.

You will pay the penalty if any of the following happens:
1)Your refi or sell your house in the next 3 years.
2)You will payoff more than 20% of the balance within one year.

The penalty will be 1% of the remaining balance.

Who should consider this program?
1)Current 3/1ARM or 5/1ARM borrowers with loan
amount over 729k.

2)Anyone has 3/1ARM rate around 5.25%