{"id":2083,"date":"2024-04-24T18:05:52","date_gmt":"2024-04-24T18:05:52","guid":{"rendered":"https:\/\/mymortgagepros.com\/?p=2083"},"modified":"2024-04-24T18:05:58","modified_gmt":"2024-04-24T18:05:58","slug":"understanding-bundle-mortgages-pros-cons-and-how-they-work-with-mortgagepro-ltd","status":"publish","type":"post","link":"https:\/\/mymortgagepros.com\/understanding-bundle-mortgages-pros-cons-and-how-they-work-with-mortgagepro-ltd\/","title":{"rendered":"Understanding Bundle Mortgages: Pros, Cons, and How They Work with MortgagePRO Ltd."},"content":{"rendered":"\n

Are you in the market for a mortgage but finding it difficult to qualify with conventional lenders? If so, you might want to consider a bundle mortgage, particularly one offered by MortgagePRO Ltd. <\/a><\/strong>Bundle mortgages, also known as piggyback mortgages, combine a first and second mortgage on the same property, providing financing solutions for those with less-than-perfect credit or other qualifying issues.<\/p>\n\n\n\n

Here’s a closer look at bundle mortgages and the pros and cons associated with them, as well as how MortgagePRO Ltd’s bundle mortgage<\/a><\/strong> products can help you secure the financing you need.<\/p>\n\n\n\n

Understanding Bundle Mortgages<\/strong><\/h4>\n\n\n\n

Bundle mortgages are a type of financing arrangement where a borrower takes out two mortgages simultaneously on the same property. The first mortgage typically covers 50-75% of the property’s value and comes with lower interest rates and fees. MortgagePRO Ltd.<\/a><\/strong> offers competitive rates and a less rigorous qualification process for this portion of the mortgage, making it accessible to borrowers with not so good credit.<\/p>\n\n\n\n

To achieve a higher loan-to-value (LTV) ratio of 80-85%, MortgagePRO Ltd.<\/a><\/strong> tops up the first mortgage with a Private Lender Inc. second mortgage. These second mortgages, sourced from Private Lender Inc.’s<\/a><\/strong> own funds or from it’s private individual investors, come with higher interest rates but are available to borrowers with less-than-perfect credit and with a relatively straightforward qualification process. Rates and fees for the second mortgage depend on factors such as the borrower’s credit score and income, but not as disqualifying factor.<\/p>\n\n\n

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The PRO!<\/a><\/figcaption><\/figure><\/div>\n\n\n

It’s important to note that the these type of mortgages typically have a shorter term, usually one year. However, MortgagePRO Ltd.<\/a><\/strong> mortgage broker and all agents work diligently to address any disqualifying issues that may have prevented borrowers from obtaining a prime rate mortgage from traditional lenders.<\/a><\/strong> Their goal is to help borrowers improve their financial situation and transition to a lender offering the best rates and mortgage products tailored to their individual needs. All during the 12 months initial term.<\/p>\n\n\n\n

Pros and Cons of Bundle Mortgages<\/strong><\/h4>\n\n\n\n

Pros:<\/strong><\/p>\n\n\n\n

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  1. Higher Loan-to-Value Ratio:<\/strong> Bundle mortgages allow borrowers to finance a larger portion of the property’s value without perfect credit and huge income.<\/li>\n\n\n\n
  2. Flexible Qualification Criteria:<\/strong> MortgagePRO Ltd. <\/a><\/strong>offers bundle mortgages with less focus on credit and issues that may have prevented qualification with conventional lenders.<\/li>\n\n\n\n
  3. Competitive Rates:<\/strong> While rates and fees for both mortgages may be higher, the overall financing package from MortgagePRO Ltd.<\/a><\/strong> remains competitive, especially for borrowers with less than perfect credit.\n