Investor · Philadelphia, PA · Member since 2010 · 739 posts · 372 votes
Assuming you were paying the loan timely and it was performing, just wondering what the lender did - make you refinance, pay extra points, increase rates, etc...
Attorney · NJ · Member since 2016 · 1k+ posts · 794 votes
9y
Twice! (Not me personally, clients). The first time was a big apartment building (300+ units) and a client's uncle, who was the "big name" member of the LLC transferred his interest among the other members for estate planning purposes. The bank got pissed off and called the loan and we had to refi with another bank quickly.
The second time was residential property that was transferred to an LLC after taking out the loan in a personal name (a lot of people on here say that's safe... it's not). When interest rates spike, banks have people that just comb through records to be able to call loans to re-lend the money to someone else at a higher rate, or to force a refi with the LLC at a higher rate. We ended up going with another bank because my client was so annoyed, but they were offering to refinance as a quasi-commercial loan at a much higher interest rate.