I'm stuck, help please. Bridge loan (with no perm financing, so reporting to HMDA now). Interest only monthly payments, so interest only is yes. But is it balloon or single pay (other non-amortizing features)? I've read the definition in Reg Z, which Reg C referred me to, and I need some clarification, can't see the forest for the trees or something today. Here's how the note reads:
I will pay this loan in one principal payment of $21,336.50 plus interest on December 11, 2020. This payment will be for all principal and all accrued interest not yet paid. In addition, I will pay regular monthly payments of all accrued unpaid interest due as of each payment date, beginning April 11, 2020, with all subsequent interest payments to be due on the same day of each month after that.
The Closing Disclosure stated balloon payment yes, was that correct or is it single pay? Thanks in advance!
Last edited by MBrownie; 06/10/20 04:46 PM.