I am always looking out for my clients best interest and searching for strategies that might benefit them. If you have a TIC fractional interest loan that you had obtained two or more years ago you may consider refinancing it. Current rates per David Park Branch Manager of Integrated Mortgage are at an all time low. See the rates and terms below from the two main fractional TIC lenders currently available with no prepayment penalty.
I had several clients that purchased TIC's with fractional TIC loans with 7/1 ARM @ 6.75%, they could possibly lower their paymnts with the lower rates. It’s would be best advised that they talk to their TIC loan agent or lender directly to see if this would be beneficial. It may also extend the low rates another 3 to 7 years. Below are the current rates provided by David Park, rates are subject to change at any time.
NCB
3/1 ARM @ 4.375%
5/1 ARM @ 4.500%
7/1 ARM @ 4.875%
Margin is 3% over the 1 yr LIBOR
No Prepayment Penalty
Sterling Bank
3/1 ARM @ 4.375%
5/1 ARM @ 4.625%
7/1 ARM @ 5.000%
Margin is 3.5% over the 1 yr LIBOR
No Prepayment Penalty
