CEMA vs. HOA Liens Which Have Priority

CEMA vs. HOA Liens Which Have Priority | Peter Roach

A Consolidation, Extension & Modification Agreement (CEMA) is an agreement that, as its name implies, consolidates two or more mortgages, extends the term of the obligation secured by them, and modifies its terms. It is used to avoid mortgage tax, which is calculated based upon the amount of "fresh money" being loaned. Typically, the new lender acquires the existing mortgage and the loan secured thereby by assignment. The lender then makes a new loan for the difference between the original mortgage being assigned to

Click here to read Peter Roach's full article...