convertible mortgage

The move should make these convertible mortgages more available.

Yet another option currently being offered by some banks is the convertible mortgage.

Now, the convertible mortgage is being widely touted by lenders.

If Sears issues a convertible mortgage, it might receive up to $900 million, the real estate experts estimated.

They explained that the proceeds from a convertible mortgage are generally greater than those on a conventional loan.

The disadvantage of convertible mortgages, though, is that homeowners have to be their own interest-rate forecasters.

Mr. Havermann suggests that convertible mortgages also have limitations.

Today's Columns Convertible mortgages are gaining a following.

Convertible mortgages, which give a lender the option of becoming an equity partner in the future, are becoming more common.

The deal went as far as Real Property Resources obtaining a convertible mortgage on the property.

A NEW emphasis is being placed on convertible mortgages, a device that gives homeowners much greater flexibility in determining the cost of their loans.

Sears, Roebuck & Company ultimately refinanced the tower using a convertible mortgage, one of the options now under consideration for the exchange's building.

He used ComFed Mortgage Company, which did not charge a premium for the convertible mortgage.

Convertible Mortgage Question: I have a 30-year adjustable-rate mortgage with a convertible feature.

One weapon, available elsewhere in the world but not yet in England and Wales, is the convertible mortgage, whereby debt is transformed into equity in the underlying property asset.

That was certainly a factor that led Michael Carr, advertising director for Playboy magazine, to choose a convertible mortgage when he and his family were relocated from Chicago to New York this summer.

If rates are lower a year or two from now, an individual with a convertible mortgage might be inclined to exercise the conversion option to guarantee an acceptable fixed rate for the remainder of the mortgage term.

The best of all possible worlds, according to Mr. Havermann, is the convertible mortgage that does not carry a premium, especially when taken out by anyone who expects to stay in the home for four years or less.

Morgan said it had agreed to provide a convertible mortgage - an i.o.u. convertible into an ownership interest - to an affiliate of the Dai-Ichi Mutual Life Insurance Company of Tokyo.

Called the convertible mortgage, it allows a borrower to change from an adjustable to a fixed-rate loan at certain times during the life of that loan, simply by paying a transfer fee, usually anywhere from $250 to $1,250.

By doing so, the association, widely known as Fannie Mae, is helping to create a significant secondary market for convertible mortgages - a step that will probably lead to more primary lenders' making these mortgages available to the public.

"This is for someone who plans to stay in a residence over three years," said Len Druger, executive vice president of Citicorp Homeowners Inc., which offers convertible mortgages in the central part of the country.

For instance, anyone who takes out a convertible mortgage intending to mark time until interest rates return to the lower levels that prevailed earlier this year might end up paying more for that fixed-rate loan in the end - not less.

In one of its largest deals, Coudert recently represented the Sumitomo Life Insurance Company in a transaction involving a $300 million convertible mortgage with Olympia & York for a building at 425 Lexington Avenue in Manhattan.

At 60 Wall Street, for instance, the Dai-Ichi Mutual Life Insurance Company of Japan has provided a $400 million convertible mortgage that can be exchanged for a 49 percent ownership interest in J. P. Morgan & Company's new headquarters.