Posted by Tom on October 21, 2001 at 23:10:54:
Am not qualified to answer the loan question, but will tackle the trust question.
First off, there are several good trusts courses out there. Bronchick, Louis Brown, and several others.
Once you have bought and studied the trust course, the trust will cost you about $.01 for paper, and the cost of a notary, and the fee to have it recorded. About $20 probably. There is absolutely no reason to get an attorney involved in setting up a trust, once you have given the subject adequate study.
Loan & Trust Question - Posted by Leon Lien
Posted by Leon Lien on October 21, 2001 at 20:00:00:
I am going to purchase 2 4-plexes in CA ($300,000/Ea). But in order to buy them with little money down, I will have a 1st mortgage($360,000, 9%) and a 2nd mortgage($240,000, 14%). I am planning to refinance them 3 months later. I figure that I probably can only get 70% of the property value out of a loan. How would I get rid of the 1st (9%) and a little of the 2nd mortgage, and have my refinance loan($440,000 7%) stand on the 1st? Is this operation going to cost me a lot ? If possible, can you tell me how much ?
For some reason, I have to purchase them under my name now, but when I doing the refinance, I also plan to put these 2 properties under a trust. Is this possible ? How much will it cost me to create a trust in CA ?
Any advise will be very much appreaciated!