Has anyone every heard of this type of title policy?
I called Indymac servicing yesterday to beg for 6 months breathing space on my conforming 7/23 balloon loan. It is due to reset or be paid off March 2010. I wanted to ask for an extra 6 months so I could sell the property in summer 2010 when the real estate market may be a little better
When I called I assumed I had zero chance of a reset because A) I don't live in the property any more, it's a rental. Also B) there is a second mortgage on the property.
Imagine my surprize when they told me that due to the existence of a First American "Balloon Mortgage priority Guarantee", I will not need to reside in the home, and the second lien doesn't matter! They do not even need a subordination agreement.
Naturally I am delighted.Has anyone ever heard of this?
Many thanks