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Subsidized Second Mortgage

A creative financing option known as the Community SecondŽ mortgage for low- and moderate-income households. An investor purchases a first mortgage that has a subsidized second mortgage behind it. The second mortgage may be issued by a state, county, or local housing agency, foundation, or non-profit corporation. Payment on the second mortgage is often deferred and carries a very low interest rate or no interest rate. Part of the debt may be forgiven incrementally for each year the buyer remains in the home.

See also:
  • Second Home
  • Second Mortgage
  • Secondary Mortgage Market
  • Seller financing
  • Seller take-back
  • Selling Agent
  • Settlement
  • Settlement Statement
  • Special assessment
  • Special Stipulations
  • Subject to
  • Subject to mortgage
  • Subordination clause
  • Subsidized Second Mortgage
  • Survey
  • Sweat Equity
  • Swing loan

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