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76 votes

The mortgage company is trying to force us to make repairs after an insurance claim

You submitted a claim for damage to the deck. The insurance company notified the mortgage company. Now the mortgage company wants to make sure that the collateral for the loan is still in good ...
mhoran_psprep's user avatar
66 votes
Accepted

How does paying off the mortgage work if I demolish a home and rebuild another home on the property?

The existing mortgage is for that house on that land. It's (almost certainly) an "owner-occupied" mortgage. Thus, you'll have to talk to the bank. They'll want you to refinance the ...
RonJohn's user avatar
  • 50.7k
52 votes

How does paying off the mortgage work if I demolish a home and rebuild another home on the property?

A mortgage is a secured loan, like a car loan. A secured loan has collateral - the thing of value that backs up the loan. When the collateral stops having value, the loan principal is immediately due ...
Harper - Reinstate Monica's user avatar
51 votes
Accepted

Do home values typically rise and fall consistently across different price ranges?

I used to work with a team that produced a pretty accurate housing prices model so I know a little about this. There is no simple relationship between average house prices for a valuation cluster (...
MD-Tech's user avatar
  • 9,072
46 votes

The mortgage company is trying to force us to make repairs after an insurance claim

Your mortgage agreement probably gives you three options: Pay off your mortgage in full. Use the insurance company's deck-repair payment to fix your deck to be similar in quality to what it was when ...
Jasper's user avatar
  • 3,497
34 votes
Accepted

Buying a house. Seller wants cash now and move only next year, renting same house in meantime

Is there any shady reason why the seller would use this strategy? The seller has a reason for staying for many months and they want to get out of ownership now. If I was presented with a counter-...
mhoran_psprep's user avatar
34 votes

Rebuilding when current house has a mortgage

The main complication is that you're destroying the collateral for a loan that you owe almost $200k on. Builders can do this because they're including their profit margin in the equity on the new loan....
D Stanley's user avatar
  • 138k
34 votes

Can someone sue for house ownership if they gave money for it?

In the US (and I'd imagine elsewhere), before the bank gave your parents a loan to buy the house, they need to underwrite that loan. Underwriters are (generally) required to document the source of ...
Justin Cave's user avatar
  • 27.8k
24 votes

The mortgage company is trying to force us to make repairs after an insurance claim

Check your mortgage paper work. Most mortgages have clauses requiring you to maintain the property, keep it in good repair, and to prevent spoilage. The property is the mortgagee's security for the ...
Charles E. Grant's user avatar
22 votes

Boyfriend is coowner of a house with his sister, he wants to sell but she doesn't

He needs to go see a lawyer to find out what all his options are, and the consequences of any of them. Then he needs to get help extricating himself from this situation, in whatever fashion he chooses:...
LiAnn's user avatar
  • 486
22 votes
Accepted

What home improvements are tax deductible?

In general, for a home you live in, there's maintenance, which is just that, you pay to keep your house in good repair. There's also real improvements. I spend $xxx to turn my poured cement basement ...
JTP - Apologise to Monica's user avatar
18 votes

Do home values typically rise and fall consistently across different price ranges?

A city is multiple markets. Neighborhoods can be hot or cold depending on what things are going on around them. The type of housing stock can also act independently. If the local university adds a ...
mhoran_psprep's user avatar
17 votes
Accepted

Are real estate taxes deductible if I use home for business?

Real estate taxes for your home are deductible as an itemized deduction on Schedule A whether or not you own a business. The phrase “wasn’t used for business” that you see on Schedule A really means ...
Ben Miller's user avatar
  • 116k
15 votes

Boyfriend is coowner of a house with his sister, he wants to sell but she doesn't

It seems likely that the mortgage is not in your boyfriend's name because he never would have qualified if he can't even afford utilities after paying the mortgage. It also seems unfair that his ...
NL - Apologize to Monica's user avatar
15 votes

Can someone sue for house ownership if they gave money for it?

My parents received money from my grandmother to put a down payment for a house. This sounds as if it was supposed to be a gift. Or was it only loaned? Now [grandmother] wants her money back which ...
glglgl's user avatar
  • 5,415
13 votes

The mortgage company is trying to force us to make repairs after an insurance claim

Let's illustrate how typical mortgage and its insurance works, from the very beginning. You: How much for this house? Previous owner: 100k You: Give me a 100k loan, I'll let you hold this 100k asset ...
Agent_L's user avatar
  • 1,352
13 votes

What home improvements are tax deductible?

On a personal income tax return home improvements are generally not deductible on a federal level. There might be some exceptions made for special tax programs, such as solar panels, but they tend to ...
Pete B.'s user avatar
  • 77k
12 votes
Accepted

Does purchasing a mobile home allow you to lower your income tax?

Paying interest on a mortgage on your residence allows you to deduct the interest, but only if all of your itemized deductions (mortgage interest, charitable donations, qualified medical expenses) are ...
D Stanley's user avatar
  • 138k
11 votes

Boyfriend is coowner of a house with his sister, he wants to sell but she doesn't

How did the house pass to them? Was it held in Trust? Were they both jointly listed on the deed? If no to both, then the house should have gone into probate..assuming this is going on in the US......
BruceM's user avatar
  • 266
11 votes

Home sale: No right to terminate?

The most likely reason for this is that the relocation company wants to have a guaranteed sale so as to get a new mortgage in the new location. Understand that the relocation company generally works ...
Brythan's user avatar
  • 21k
11 votes

Is there financial instrument for overvalued homes

Yes - you could sell your house right now. This 'locks in' the current valuation, and removes your further participation in the risk associated with your local real estate market. Step 2 depends on ...
Grade 'Eh' Bacon's user avatar
10 votes
Accepted

Is it advised to sell current self occupied home and buy the other new one to book the profit?

No one can answer this but yourself.... 1) Have you considered closing cost (you'll pay the closing cost for at least 1 property if you sell yours and buy another. 2) Assuming you didn't spend a ...
xyious's user avatar
  • 2,778
10 votes

Buying a house. Seller wants cash now and move only next year, renting same house in meantime

This is not risky, or dishonest. It is known as a contingency. Your relative is free to back out of this deal if it does not work for him. Although not common, basically your relation is buying a ...
Pete B.'s user avatar
  • 77k
9 votes

Buying a house. Seller wants cash now and move only next year, renting same house in meantime

It's not unheard of to charge rent during a closing period, but 12 months is a LONG time. It's a year of potential missed rent payments, and 12 months of "wear and tear" that the seller is ...
D Stanley's user avatar
  • 138k
8 votes

I'm under contract for a house, but I'm moving away suddenly. Still purchase as an investment?

Unless you think it's likely that you'll move back soon, this is probably not the best way to get experience as a landlord. You might want to talk to a property management company and look at the fees ...
FightOrFlight's user avatar
8 votes

minimum repayment on home loan

Yoozer8 gave a sufficient answer and you should up vote it, I certainly did. I think you are having difficulty in understanding his answer is that home loans and credit cards are two very different ...
Pete B.'s user avatar
  • 77k
8 votes

Rebuilding when current house has a mortgage

I agree with D. Stanley's answer and started a comment that was getting a bit long. One option here might be to get completely new loan that covers not only the construction but the remaining balance ...
JimmyJames's user avatar
  • 3,888
7 votes

Boyfriend is coowner of a house with his sister, he wants to sell but she doesn't

Rent the property?? Is that a possible solution? Since selling the house is not an option and living in it isn't either, then perhaps renting it is the way to go? Since no explanation for the sister's ...
user52153's user avatar
7 votes

I'm under contract for a house, but I'm moving away suddenly. Still purchase as an investment?

I would advise against this. My main reason for saying so is that you are in a time of major transition, and transition equals uncertainty. What if the new job turns out to be a bad one, and at the ...
Wesley Marshall's user avatar
7 votes
Accepted

does interest payment on loan stay the same if I pay early

The typical case would be - as you expected - that the interest goes down equally dramatically, and you would pay much less interest. Note that that does not remove your obligation to pay the full ...
Aganju's user avatar
  • 37.7k

Only top scored, non community-wiki answers of a minimum length are eligible