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By structuring these loans this way the bank takes on less risk while putting you and your
investment at risk every 5-7 years to pay off a large loan balance in a short amount of time. In
the event like a 2008, downturn cycle, or merger by another bank the banks can call these
notes due without offering extensions on the loan.
Without the offering of an extension on the loan your left scrambling trying to find a refi loan only
to be put into another loan with a balloon payment in the future and the cycle continues.
Video ~ Bankable vs. Non Bankable
(Create Video The Bankers Box & Portfolio Lenders A little better but still a box (no 30 yr fixed
loan options only balloon options available which is not ideal for unique property types or
strategies limited cashout capped at 65% maybe 70% LTV on a good day, annual reporting,
plus documentation, which may not help you…)