Kiritsis & Associates

 

What is a ballon payment? Kiritsis Law Group 212 922 0005

May 13, 2021

By: John Kiritsis, Esq., CPA, MBA, MS, JD, LL.M

Generally, it is the final installment payment on a loan, and it is a lot bigger than the other installment payments. Balloon payments can be found in many types of mortgage financing; however, they are more commonly found with commercial real estate mortgages than with residential real estate mortgages. In a good economy with a healthy real estate market, and borrow making timely payments: balloon payments should be of little concern to the buyer/borrower. At the end of the period, when the balloon payment is due, the same or a different lender will provide refinancing. However, oftentimes in life, when things go bad they sometimes go very bad. If the economy is in bad shape, it will be harder to obtain a re- financing loan. To make matters worst, if the economy is not doing well, then the property’s market value may have dipped, thus reducing the potential amount that you can borrow. Compounding the problem, is that banks may be experiencing a cash crunch and be more forcible in demanding the balloon payment. If your mortgage loan has a balloon payment, you should monitor the date that is coming due, and should have arranged for alternative financing, prior to the due date. If getting a mortgage refinance is out of the question, they try to be proactive by talking to the lender before you miss a payment.

 

Law Offices of Kiritsis & Associates

Phone # 212 922 0005

Manhattan Office (Main Office):

633 Third Avenue

New York, NY 10017

Suite 1306

Brooklyn Office (By Appointment Only):

1023 74th Street

Brooklyn, NY 11228

1st Floor

New Jersey Office:

7309 Ventnor Avenue

Ventnor, NJ 08406

2nd Floor

 

ATTORNEY ADVERTISING. PRIOR RESULTS DO NOT GUARANTEE A SIMILAR OUTCOME.

We hope you would find this website useful with regards to finding potentially relevant information for your legal issue.   The Law Offices of Kiritsis & Associates PLLC is a boutique law Firm Group headquartered in Midtown Manhattan, with offices in Manhattan, Brooklyn (NY) and New Jersey.  We strive to provide professional legal services for individuals and various business entities.  Our clientele ranges from including aspiring entrepreneurs, startups to established business organizations.

We offer flat fee prices for many of the practice areas provided listed throughout our website.  For more information on the topic you may be interested, or simply to find out how our law Firm Group can help, you may click at any of our site's links.

 

We are available for existing and potentially new clients 7 days a week -- via online, phone and/or in person.

Phone# 212-922-0005

 

Intellectual Property Disclaimer(s):

Copyright 2021

The materials available through this website and any other websites owned by John Kiritsis (individually and collectively, the "Website") are the property of John Kiritsis and his entities, and are protected by copyright, trademark and other intellectual property laws.  You may not use, reproduce, download, store, post, broadcast, transmit, modify, sell or make available to the public content from the Website without the prior written approval of John Kiritsis.  Be aware that any unauthorized use of John Kiritsis trademarks and copyrighted content for commercial purposes in violation of John Kiritsis's intellectual property rights will be vigorously enforced.  All other trademarks, service marks and trade names referenced in this site are the property of John Kiritsis.

Website Created & Hosted by Website.com Website Builder