Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
General Real Estate Investing
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated almost 4 years ago,

User Stats

922
Posts
533
Votes
Jim Goebel
  • Real Estate Investor
  • Des Moines, IA
533
Votes |
922
Posts

Does pre paying on Mortgage increase our rates?

Jim Goebel
  • Real Estate Investor
  • Des Moines, IA
Posted

I just came across this video on WSJ.

What stopped me was seeing that a PRE PAYMENT on a mortgage actually reduces the value of a note/mortgage to the investor on the secondary market.

If this is the case, wouldn't it follow that we need to pay higher rates to compensate an investor for that lower value?

Our rates aren't terrible but they've crept up compared to what we used to get, and we've been paying down notes pretty aggressively at times.  

Any note investors out there care to weigh in?

Here's the WSJ article in question ---- it's a video and the content is around 2:10 and on.

https://www.wsj.com/video/how-...

Loading replies...