I was talked into making a loan through LRP Capital in 2006 by their representative, Brian Rooke. He claimed that this was the best loan around and promised me that this was not one of the "designer loans" that all seem to be collapsing at this time. The loan is a five year fixed interest only loan, and at the end of five years, the rate will be adjustable. I was concerned at the time that I would not be able to afford the payments after the adjustable period was up, but he assured me not to worry that was not true. He put me into a mortgage that is considered a "jumbo loan" for $420,000 ($20,000 of which was his fees). Now, I can't get a refinance to a 30 year fixed rate because no one wants to re-finance a jumbo loan. I know that in another 3 years I will not be able to afford the inflated payment, even though I am trying to put a little towards principal each month. I may as well stop paying on the loan now, because I will loose this house in three years, just like all of those others who put their trust in their mortgage broker are doing now.
I have sent him numerous messages and he never responds. Do not do business with this company if you want to keep your home! I will be the first to admit I was stupid for letting him talk me into this loan, but at the time I was unemployed (yes, unemployed living on disability insurance) and wanted to consolidate my bills. I should have left my original loan alone...
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