Perhaps you are referring to a performance mortgage.
A performance mortgage is a security instrument that secures performance of an underlying agreement (e.g., a Lease Option). It is stronger than recording a memorandum of option because it makes you a secured lienholder and you can foreclose on the property for non-performance by the seller.
Any liens placed on the property after you file the performance mortgage will be junior in position to yours. You can take the standard Fannie Mae mortgage and then simply add a "performance rider" to it to make it a performance mortgage.
Please note that I have never done a performance mortgage, but am only relaying my understanding of its purpose and the process.[ Edited by DaveT on Date 02/06/2003 ]
Perhaps you are referring to a performance mortgage.
A performance mortgage is a security instrument that secures performance of an underlying agreement (e.g., a Lease Option). It is stronger than recording a memorandum of option because it makes you a secured lienholder and you can foreclose on the property for non-performance by the seller.
Any liens placed on the property after you file the performance mortgage will be junior in position to yours. You can take the standard Fannie Mae mortgage and then simply add a "performance rider" to it to make it a performance mortgage.
Please note that I have never done a performance mortgage, but am only relaying my understanding of its purpose and the process.[ Edited by DaveT on Date 02/06/2003 ]