The Client

A married Singaporean couple in their early 70s living in Singapore with a small portfolio of U.S. investment property. The wife works and owns a small marketing company while the husband is retired. In addition to their home, the pair also own two rental properties.

How We Helped

On advice from their trusted attorney, they were also hoping to increase their LTV to mitigate U.S. inheritance tax and convert their current rental mortgage into an interest-only to increase their yield.

The property was an impressive six-bed family home in Vail, Colorado. The couple had purchased the house over 20 years ago when living and working in the U.S.

The pair were looking to reduce their credit card debt and help their son purchase a home in Singapore.

In total, they were looking to raise $300,000. They had requested a five-year fixed rate on interest-only terms. The clients felt that their advanced age and low income would decrease the finance options available.

The clients were not current on their U.S. tax filings for their rental property, were in their late 70s, and had sufficient but not well-documented income.

As a significant amount of their income was based on future contracts, but their cash-flow was sufficient to service their debt, we suggested our FNStated program, enabling the borrowers to qualify for a higher LTV based on projected income and net rental income from the property.

Age wasn’t a factor, as it is illegal to discriminate against age in the U.S. America Mortgage was able to structure a 30 year amortized mortgage with a 5-year interest-only period giving the needed $300,000 cash in hand and reducing their monthly debt servicing by 13%, thus increasing their yield.

Loan Details

NationalityProperty ValueLoan AmountLTVRate
Singapore Citizen $1,600,000 $323,000 20% 5.75% interest only
Term Address Property TypePurposeLoan Type
10/1 ARM Vail, Colorado Single-Family Home Purchase and Refinance Residential
Nationality Singapore Citizen
Property Value$1,600,000
Loan Amount$323,000
LTV20%
Rate 5.75% interest only
Term10/1 ARM
Address Vail, Colorado
Property Type Single-Family Home
Purpose Purchase and Refinance
Loan Type Residential

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