Quote:
Originally Posted by !SCEPTER300R
i do mortgages everyday... as for purchasing it as a second home... it comes down to approval by the adjudicator... applying as a second home has an easier approval rating and they do know 90% of the ppl that apply for it use it for rental but there are loop holes in the system that allow for this type of application. btw if this is fraud tell that to all the ppl that purchase under the secondary home purchase (mortgage).
|
Loop holes eventually get plugged.
It would suck to buy a second home, rent it, then at renewal be told "nope you need a rental mortgage" which is a tougher application and they get denied.
Its unlikely, yet owners should be knowledgeable that banks are legally allowed to cancel or refuse renewal on a home that isn't being used for the stated purpose.
I'll reiterate, since you didn't read it in the last post either, its unlikely. Yet its still a risk, and in bad times we know banks like to change the rules and be far more strict.