Can you afford the California prepayment penalty on first mortgage?

My dream has always been to live in sunny California. Ever since I was a little girl and spent a 2-week vacation in California, I knew that one day I would buy a home and live my life there. After I graduated at the top of my class, everyone assumed that I would be the best attorney anyone could ever ask for. I also thought that, but things change. The only reason I wanted to become an attorney was because I wanted to be filthy rich. I wanted to be able to buy myself a home in Beverly Hills. If I were to be a lawyer, my credit rating would be impeccable, my credit score something to be envied and I would own vast amounts of collateral. Everybody would be knocking on my door to give me a mortgage and every bank would seek me out as a client. I would be one of the few who would be able to afford the California prepayment penalty on first mortgage.

Let's think about California prepayment penalty on first mortgage

You're probably wondering to yourselves why I would even think about such a thing as a California prepayment penalty on first mortgage, right? I know about the California prepayment penalty on first mortgage because I'm a real estate lawyer. Many people do not sit down and calculate California prepayment penalty on first mortgage when they decide to buy a new home. The consumer figures that they'll just pay interest for 30 years with no problem. Nobody ever thinks about paying their mortgage off fast and quick because they never think they'll come into that kind of money. The average borrower will borrow money because they don't have vast amounts of wealth. They sign a contract at the closing but never read it. If they were to read it they would see very clearly that there is a California prepayment penalty on first mortgage clause. It's such a shame that most people are so willing to sign a contract but not willing to read them. Couldn't you just imagine how much trouble they could save themselves if they were to just read their own contract? To be continued..................

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