Today, many homeowners considering a move face the prospect of replacing their low-interest rate mortgage of perhaps 3-percent with a new mortgage with a rate over 7-percent. Earlier this year, we published an idea that would allow homeowners to finance their move by unlocking the value of their below-market rate mortgage. The article generated a flurry of comments that said it wasn’t feasible, but we have since discovered that this idea has become reality. In April, Businesswire reports that Great Lakes Credit Union (GLCU) closed the first transaction in a new program that returns tens of thousands of dollars to homeowners selling their home and defeasing their low-rate mortgage.
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