REFINANCING AN 11.75% FIRST MORTGAGE IN EAST HARTFORD, CT

“Refinancing an 11.75% First Mortgage in East Hartford, CT.”

11.75% is not a misprint. Let me start from the beginning. About a year ago, Jay came to me, referred by his attorney. In 2009, Jay leased a property with an option to buy. A part of this option, he could do renovations ($46,000 worth). Not thinking that he should investigate mortgages, prior to invest all this money into a home he did not own.

After investing the money into the home and his option period was due to expire, he attempted to get a “NORMAL” mortgage and was not successful. Not willing to lose all the money he had invested, he found a private investor to give him a mortgage, at 11.75%.

At the time I originally met with Jay his mid credit score was 549. For just about a year, I worked with him to repair his credit. We also wanted to wait until he received his 2011 W2, as he was unemployed in part of 2009.

Last week, armed with his 2011 W2 and a 621 mid score, I complete his mortgage application. We are doing an FHA mortgage for Jay, paying off his 11.75% mortgage, plus a $603 per month , car payment.

His new mortgage is at 3.75% and saving him $794 per month. Is that a nice raise?

I love what I do for a living, it allows me to make a difference in so many lives.

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