Method and loan for financing a property expense increase associated with rising property value

• US 20060242057A1
• Filed: 04/20/2005
• Published: 10/26/2006
• Est. Priority Date: 04/20/2005
• Status: Abandoned Application

• Current Assignee: Carlo Velarde Mortgage Products LLC
• Original Assignee: Carlo Velarde Mortgage Products LLC
• Inventors: Velarde, Carlo
• Application Number:
  US11/110,074
• Publication Number:
  US 20060242057A1
• Time in Patent Office: Days
• US Class Current: 705/38
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof

Abstract

A method for financing increases in property expenses, such as increases in property taxes and insurance premiums, associated with an increase in property value. Under a secured increase loan, a lender agrees to pay the increase of the expenses, either one-time or annually, above the borrower'"'"'s initial or existing expenses associated with the property, and the borrower agrees to repay the loan within a predetermined time period.

Claims

1. A method for financing payment of a property expense increase comprising providing a loan secured by a property to pay an increase portion amount above a predetermined initial expense amount associated with the property and establishing a predetermined term for a borrower'"'"'s repayment of the loan.

2. The method of claim 1 wherein the initial expense amount includes estimated property taxes.

3. The method of claim 1 wherein the initial expense amount includes estimated insurance premiums.

4. The method of claim 1 wherein the incremental expense increase includes an increase in property taxes.

5. The method of claim 1 wherein the incremental expense increase includes an increase in insurance premiums.

6. The method of claim 4 further comprising adding a plurality of annual tax increase payments against a plurality of annual tax increases to a balance amount of the loan.

7. The method of claim 6 further comprising establishing a loan term identifying a date for repayment of the loan.

8. A method for financing property expense amount increases comprising:

communicating to a borrower an initial expense amount associated with a property, wherein the initial expense amount includes at least one amount selected from the group consisting of estimated annual property taxes and estimated annual insurance premiums;

brokering a loan for a lender to pay one or more annual expense increases above the initial expense amount on behalf of the borrower; and

communicating terms of the loan including a predetermined loan repayment time period to the borrower.

9. The method of claim 8, wherein the loan is secured by the property.

10. The method of claim 8, further comprising receiving a referral payment from a member of a group consisting of a lender and a broker.

11. A property expense increase loan comprising:

an agreement for a lender to pay an increase above a predetermined expense amount associated with a property; and

an agreement for a borrower to repay the loan within a predetermined time period.

12. The property expense increase loan of claim 11, wherein the increase is selected from the group consisting of a property tax increase amount and insurance premiums increase amount.

13. The property expense increase loan of claim 12, wherein the loan is secured by the property.

14. The property expense increase loan of claim 13, further comprising an agreement for the lender to pay a plurality of annual increases within the predetermined time period.

15. A method for financing payment of property expense increases comprising:

receiving a request for payments of annual property expense increases exceeding an initial property expense amount; and

providing a loan with a predetermined term for repayment of the payments of annual property expense increases.

16. The method of claim 15, wherein the property expense increases include property tax increases.

17. The method of claim 16 wherein the property expense increases include insurance premiums increases.

18. The method of claim 17 further comprising brokering the loan between a lender and borrower.

19. The method of claim 16 further comprising brokering the loan between a lender and borrower.

20. The method of claim 15 further comprising brokering the loan between a lender and borrower.

21. The method of claim 16, further comprising simultaneously providing a mortgage loan including principal and interest payment terms associated with the property.

22. A method for financing payment of a property expense increase comprising establishing a property increase value trend index applicable to a property and providing a loan based on the index to pay an increase portion amount above a predetermined initial expense amount associated with the property.