All Forum Posts by: Dennis Haldeman

I am a PML operating exclusively in the state of Pa.  I am considering doing my first second mortgage of a substantial $ amount.  (I have done small seconds in the past as an unsecured personal/promissory note.)  I believe I may already know the answer to this question, but just want some confirmation from this group.  Are the loan docs for a second the same as for a first.  The only difference being the order in which the paperwork is filed?  Thanks in advance for any input!

Thanks Adam and James for the input!  I have been advised by my title agent that the name of the partner bringing the cash to settlement for their 50% ownership should also sign the mortgage doc.  My Installment Note will be signed by the borrower only.

I am presuming the "tenants in common", as they are not related, such as husband and wife.  I would be in first lien position and the other party is OK w/ this arrangement.  (The other party is a realtor and experienced "flipper", so, hopefully, she knows what she is doing.)  Thanks for your response!

Here's a question for the PML's out there... I am currently preparing to loan money to one of two partners in a real estate transaction. (The other partner is bringing their own cash to the closing table.) Do I need to prepare my loans docs (installment note and mortgage) any different in this situation than if it was a single purchaser rather than two? I am presuming that the deed will be issued to the parties as "tenants in common".  I am located in Pa.

Be wary of insurance costs for student housing properties.  The majority of insurance companies that I worked with during my 34-year insurance career (I'm now retired) had NO interest insuring this type of exposure.  I'm not saying that you can't get insurance, but the cost will be higher than non-student housing.