Hi Link and Dennis:
The Debtors have a rental property that they want to pay off in five years.
So they are doing a "Cramdown" and they have a 2nd so they are also doing
a Lien Strip. So yes we are paying the FMV of the mortgage over five
years. So while this is a risky loan, they will get paid in five years as
opposed to carrying the loan for a much greater period of time. So I
thought the shortened time on the loan would help offset some of the risk.
Thank you both for your replies. I am very grateful.
Renay
On Mon, Aug 13, 2012 at 10:51 AM, Dennis McGoldrick wrote:
> **
>
>
> Grace:
>
> till requires a 1 to 3 percent addition to prime.
> Your use of cramdown is confusing me. Do you mean stripdown?
> What are you stripping down? It appears you are trying to strip down a
> rental property? Are you going to pay the entire stripped down mortgage
> over five years?
>
> Greater creditor risk is compensated by greater interest. When using a
> stripdown, the creditor is generally being forced to carry a 100% loan to
> value note (from a bankrupt debtor). That is the most risky loan
> imaginable. I would be happy for 5.75% in this circumstance.
>
> I would expect Judge Kaufman to rule for the creditor.
>
> d
>
>
> ------------------------------
> *From:* R Grace Rodriguez
> *To:*
cdcbaa@yahoogroups.com
> *Sent:* Monday, August 13, 2012 10:13 AM
>
> *Subject:* [cdcbaa] Interest rate on Cramdown of Rental Property Chapter
> 13
>
>
> Dear Members:
>
> Filed a motion to value. Filed Plan at 2% interest on the cramdown value.
>
> Got opposition to Motion asking for 5.75%
>
> I'm in Judge Kaufman's court.
>
> Any recommendations on either REPLYING asking for lower than 5.75 or
> taking it to evidentiary hearing which in the long run may result in a lot
> of money being saved. Anyone know where Kaufman is at on rates?
>
> Thanks for info in advance.
>
> --
> R. Grace Rodriguez, Esq.
> OFF: (818) 734-7223
> CEL: (818) 554-9922
>
> NO EX-PARTE NOTICE VIA VOICE MAIL OR EMAIL: I do not accept e-mail notice
> for ex parte Applications via voicemail or by email. You must comply with
> California Law and give notice to a person in my office during regular
> business hours.
>
> CONFIDENTIALITY STATEMENT: This message contains privileged and
> confidential information and is intended only for the individual named. If
> you are not the intended recipient you should not disseminate, distribute,
> store, print, copy or deliver this message. Please notify the sender
> immediately by e-mail if you have received this e-mail by mistake and
> delete this e-mail from your system.
>
>
>
>
R. Grace Rodriguez, Esq.
OFF: (818) 734-7223
CEL: (818) 554-9922
NO EX-PARTE NOTICE VIA VOICE MAIL OR EMAIL: I do not accept e-mail notice
for ex parte Applications via voicemail or by email. You must comply with
California Law and give notice to a person in my office during regular
business hours.
CONFIDENTIALITY STATEMENT: This message contains privileged and
confidential information and is intended only for the individual named. If
you are not the intended recipient you should not disseminate, distribute,
store, print, copy or deliver this message. Please notify the sender
immediately by e-mail if you have received this e-mail by mistake and
delete this e-mail from your system.
Hi Link and Dennis:The Debtors have a rental property that they want to pay off in five years. So they are doing a "Cramdown" and they have a 2nd so they are also doing a Lien Strip. So yes we are paying the FMV of the mortgage over five years. So while this is a risky loan, they will get paid in five years as opposed to carrying the loan for a much greater period of time. So I thought the shortened time on the loan would help offset some of the risk.
Thank you both for your replies. I am very grateful.RenayOn Mon, Aug 13, 2012 at 10:51 AM, Dennis McGoldrick <
easky1@yahoo.com> wrote:
The post was migrated from Yahoo.