Is your property overleveraged in Orange County?

One of the fabulous aspects of owning your own home is the sense of security and long-term stability that comes from calling a place ‘your home’. Most people use a bank or financial institution to borrow money when they purchase their home. This is common and over a period of time the borrowed money is paid back to the bank or lender. Some families have grandparents or a circle of friends who can loan them the funds to purchase a house and this is often a preferred way of getting home ownership because there is no debt owed to a bank, and there is usually more flexibility in terms of repayments.

Leverage is a term that means borrowing money against an asset. In most people’s case the asset is there home and the funds are used for renovations or improvements. In this case, the value of the house increases and the debt is manageable. But this is not always the case in Orange County.

What is an overleveraged property?

At JAM Properties we have supported and counselled Orange County families that have borrowed funds from their bank to purchase their home, and then a calamity strikes or financial pressure causes them to borrow extra money. These extra funds may come from an extra bank or from a fast-cash operation or even a non-approved financial institution. These choices mean that the house is used to guarantee too much debt, much more than the house is worth, much more than the family can repay or sadly both. This is what is when your property may be overleveraged. In our experience, these types of situations can begin with funding college for children, urgent medical treatment or an emergency that throws your family budget into disarray.

These situations are difficult, challenging to resolve and can often cause too much stress on family members. When a home is overleveraged, it feels more like a burden than a safe-haven for your family and friends. It becomes an obligation rather than joy. We are here to help!

Knowing how to navigate these difficult situations is one of our areas of expertise. There is no charge, fee, obligation or pressure when you deal with JAM Properties. We have our own funding, access to a network of trustworthy agents and we can even connect you with reputable financial representatives. If your property needs repairs before you can sell it to repay the money borrowed against the house, speak to us first. If you want to stay in Orange County, we’re the specialists and will help you move directly from your present house, cashed-up, to your new property. There is no need for you to gain preapproval from a bank to buy your next property with us, and this may be too difficult if your property is overleveraged. We will work with you to ensure your financial situation is repaired and you can move on to the next safe-haven home.