Whole Loan Mortgage

Loan Closing
Every loan is closed by a settlement company, most often by a company of our choosing with whom we have a relationship that goes back for years. If an other settlement company is utilized the company must provide us with an Insured Closing Letter certifying that a major title insurance company guarantees the work of the settlement company.

Every loan is issued a Title Insurance Policy from a major title insurance provider. Title insurance insures that our loan position is in first position. If ever our lien position is challenged the Title Insurance Company defends our interests at their expense. Only once in all of our years in this business have we had a title claim. In that case the title insurer immediately came to our defense and paid us out prior to that case being settled.

Every loan is issued a Hazzard insurance policy in an amount at least equal to the amount of the loan, naming the Lender as the mortgagee or “insured”

All of our loan documentation is prepared by our attorney. The form loan documents were created working closely with our counsel using and our many years experience in real estate lending. We have taken into account the document points that worked the way they should and also points of the documents that have been challenged. The loan documentation is modified from time to time as laws and precedent change to insure that we have the most comprehensive and up to date security documents available.

Once the loan is closed and the lien is recorded we prepare a Whole Loan Investment Closing Package for the investor. In this package is everything an investor needs to know about their investment, it includes; the loan profile summarizing all of the salient information about the loan, the ORIGINAL NOTE and a copy of the deed of trust, the title insurance policy naming you among the insured, a hazard insurance policy naming you among the mortgagees, an original appraisal of copy of the tax bill with a summary of the calculations that were used to calculate the LTV, a copy of the assignment of rents which allows us to collect the rents from a tenant of the property in case of default, a construction agreement if the loan has a renovation component and any other agreements executed by the borrower associated with the loan.