My friend has 2 mortgages on her house? What does that mean?

She has two mortgages on this over $300,000 house.
What does that mean?

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10 Comments for “My friend has 2 mortgages on her house? What does that mean?”

  1. Scott

    Not 2 mortgages, a second mortgage.

    Say you buy a house worth $300,000 and over time you’ve made your payments and now you only owe $250,000. You can re-finance (get a second mortgage) and the new bank pays your old bank the $250,000 you owe and gives you $50,000. Now you owe the new bank $300,000 on your new loan (second mortgage).

  2. Tsunami

    she could have one that got the house and then she went and used anotehr to add money and put other things in it that is horrible cause you can lose the hosue when you do that at once time texas would not do that cause too many were losing their homes (equity loan) they call it but its mortgage. its bad thing.

  3. broccoli brain

    That means she has 2 separate loans on which she is making payments.

  4. dream

    She may have taken a second mortgage to pay off bills or do renovations.It’s a cheaper interest rate than taking out a loan.

  5. Vince

    probably two different loans on the house.

  6. Angie

    It means that she has borrowed twice against the equity of the house. Hopefully the combined amount of those loans is less than $300,000.

  7. Anna V

    It means she asks the Bank for loans, and pays the bank for borrowing money. It seems she has told you she has two, which means she is using her property as security in order to receive money from the bank

  8. BOYD H

    She has borrowed money against it for two different times.

  9. Hugh-G-Rection

    It means She took out an equity loan on the house. Commonly referred to as a 2nd mortgage.

    In other words, she borrowed money against a perceived value of the house, in hopes the value would go up.

    She probably owes more than the house is worth now.

  10. DannoREA

    If she’s in California, it means there will be two lenders fighting over the proceeds of the foreclosure.

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