Here is the situation. My friend got screwed when buying a condo that was on a close out from a developer on a converision. Actually it was his realtor that screwed him and now he needs to refi fast but can not find someone to refi, I called 3 brokers i deal with and they can not help…so i told him i will check the boards out…
Here is the deal…
Loan bal total 304K
Loan is 80/20 (I/O&fix) with a PITI about 2200month(taxes about $150 month escrowed)
Has a prepay of $9400…
Title Company that did closing has $16400 held in escrow which they can not give him -reason for refi…but they can apply it as a principal only payment to buy down loan and cover prepay penalty or give him the money after refi is done like he should of had.
This is a midrise condo (3 stories) and recent converison. Developer turned over association last month and managed by a private company now. High NOO ratio I know, maybe about 70/30 but assocation will not tell him exactfigures but thats est. ratio for these.
FICO is 704. He bought it OO and its his first place but has an investment property (rehabber) so it hurts his debt to income ratio. He is W-2 but really needs a NO DOC loan unless your creative on a stated loan. You would need to state his income over 14K a month and would be hard to believe unless you can factor the rehabber payment differently (mortgage is 4200 month)His income is around 50K yr and other bills are less than 700a month. One thing to make it tough, he had really no rent before this was bought since payment shock is still present on a no seasoning refi.
He needs to refi, get cashback of about 15K which is what title company is holding in his name. This happened becauuse realtor said they take the money incentive for him that bank didnt approve and pay it to him but apparently the broker never approved of it or in fact the HUD-1 and now he is screwed since no other way to get his money. He needs the money as he can not afford the PI, he is renting the unit and runs negative cashflow…
Any help…let me know…NO BSers…if you can do it let me know. Want payments under 2000 a month before taxes if possible. Option arm be great but probably not doable. Please no PREPAY…he got nailed there and makes it all worse.
Only thing saving him is title company will do refi w/o junk fees and save him alot there. Also no par rates, want to pay no points to keep cost down…get your money on back end from the YSP.
Need to close ASAP on refi as he does not want to pay Oct payment due by 15th.