Equity acceleration companies vs homeowners own mortgage co.

[jbradley7]

What is the name of your state? GA
Can a homeowner set up their own equity accelerations with their mortgage company or does one have to go with one of those 3rd party companies that are mortgage accelerator specialists?

 

[HomeGuru]

What is the name of your state? GA
Can a homeowner set up their own equity accelerations with their mortgage company or does one have to go with one of those 3rd party companies that are mortgage accelerator specialists?

**A: there is no law prohibiting a homeowner from doing it themselves. But they key is to know what you are doing and making sure the lender agrees to the additional accounting.........

 

[MortgageGuru]

More importantly, if you are trying to set-up a bi-weekly payment plan then why don't you save yourself some money and just make one extra payment a year on your own.

 

[HomeGuru]

More importantly, if you are trying to set-up a bi-weekly payment plan then why don't you save yourself some money and just make one extra payment a year on your own.

**A: this OP is an idiot and needs brains bi-weekly.

 

[Rhubarb297]

More importantly, if you are trying to set-up a bi-weekly payment plan then why don't you save yourself some money and just make one extra payment a year on your own.

I certainly agree with this or suggest just paying more each month on the principal.

That is with one caveat. If there is a pre-payment penalty then he might be penalized for making extra payments before the end of the prepayment penalty period.

 

[nextwife]

Even most mortgages with a prepay penalty DO allow a certain fixed amount annually of prepayement - I believe I've usually seen 20%. You can read your mortgage to see what is allowed.

In either case, one can easilly accelerate the mortgage on your own, by sending no more than the allowable prepayable, to be applied toward principal, with any payment they wish. I pay something extra every month with my mortgage, anywhere from $15 to $200 each month, as available. Each monthly statement gives the new balance.

What's great about this is that, if you have an ARM (I have a portfolio ARM which is now 4.875, 8 years old) It has a max adjust of 1% up or down annually. Anyway, the PAYMENT adjusts each year based on the remaining balace and the new rate, so the more I pay, the lower the balance the next adjustment is based upon.