Legal Question in Real Estate Law in Georgia

I am closing on selling my house and I had an interest only loan. Im wanting to know if after 5 yrs of owning the house, am I still required to pay the loan off at the original amount when I first started. My uncle took out the loan for me for $65700.00..gave me a payoff of $63200.00. That doesnt seem right to me....my mortgage payments are $675/month.


Asked on 1/30/14, 11:25 am

2 Answers from Attorneys
Scott Riddle Law Office of Scott B. Riddle, LLC

You are required to pay off the balance due, whatever that is. No one here can possibly tell you how much you owe.

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Answered on 1/30/14, 11:29 am
Glen Ashman Ashman Law Office also dba Glen Ashman Attorney

While no one here has seen the loan or the amortization schedule to answer you, in an interest only loan you are makig no principal payemhts, so the payoff is usually going to be about the same as the original loan amount. As you are now finding, interest only loans are a horrible deal for a borrower.

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Answered on 1/30/14, 11:47 am


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