Life Collateralized Mortgage Obligation (LCMO)®
Has anyone had any experiance with this type of loan?
DESCRIPTION: A NET LIFE LCMO® is a thirty (30) year fixed, low cost (average 4.5% APR) amortized mortgage which is available to all applicants over the legal age of eighteen (18).
MECHANICS: A NET LIFE LCMO® has only two (2) *requirements for which to qualify:
1. The Real Estate for purchase or refinance must be substantiated, and
2. The Applicant must qualify for a Life Insurance Policy (AMBest B+ or better)
* NOTE: Credit, Credit History, Legal History, etc. are not considered in the application process.
TERMS: All NET LIFE LCMO® mortgages are held under Deed of Trust. The LCMO® mortgage is secured by the real estate and the life insurance policy.
(Life Collateralized Debt Obligations (LCDO)® function similarly to an LCMO® but is used primarily for commercial applications.)