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For Current Borrowers

Current Borrowers

If you closed on a Dream Home Fund silent second, this page answers the questions you're most likely to have after move-in.

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What to expect. Your Dream Home Fund silent second sits in second lien position behind your first mortgage. It accrues simple interest at your first mortgage note rate plus 1%. No monthly payment is required. The balance becomes due when you sell, do a cash-out refinance, pay off the first mortgage, transfer title, stop occupying the property as your primary residence, or reach loan maturity.

No monthly payments, explained

Dream Home Fund does not send you a monthly statement or expect a monthly payment. Your only ongoing obligation is to keep your first mortgage current, maintain hazard insurance with Dream Home Fund named as additional loss payee, and continue to occupy the property as your primary residence.

Even though no payment is due, your balance is still growing each year through simple interest accrual. That accrued interest is real money that will come out of your sale or refinance proceeds. If you want to see how your balance has grown, request an annual statement (see below) or a current payoff figure at any time.

Updating your contact information

Please notify Dream Home Fund any time your mailing address, email, or phone number changes. Email info@dreamhomefund.com with the subject line "Contact Update" and include your loan number, full legal name, old address, and new address. We will confirm receipt within 5 business days and update our records.

If you have changed your legal name (marriage, divorce, court order), include a copy of the supporting document with your update.

Requesting a payoff statement

You or an authorized party (escrow officer, title officer, refinance lender, attorney) may request a payoff statement at any time. Email payoffs@dreamhomefund.com with the subject line "Payoff Statement Request" and include:

Dream Home Fund will issue a written payoff statement within 5 business days of receiving a complete request. Payoff statements are valid through the "good through" date stated on the statement; if your closing slips past that date, request an updated payoff.

No prepayment penalty. You may pay off your Dream Home Fund silent second at any time, in whole or in part, with no fee. Voluntary payoff stops the interest clock and protects more of your future equity.

Selling your home

When you sell, the full balance (principal plus accrued interest) is due and payable at closing from sale proceeds. Steps:

  1. Once your purchase agreement is signed and escrow is opened, give your escrow officer Dream Home Fund's contact information (info@dreamhomefund.com).
  2. Your escrow officer requests a payoff statement from Dream Home Fund (see above).
  3. Dream Home Fund issues the payoff statement and wire instructions.
  4. Escrow wires the payoff from sale proceeds at closing.
  5. Within 30 days of receiving payoff, Dream Home Fund records a full reconveyance of the deed of trust, clearing title.

Refinancing your first mortgage

Dream Home Fund's refinance policy:

To request re-subordination, your new first mortgage lender should email partners@dreamhomefund.com at least 15 business days before the planned closing date with the subject line "Subordination Request" and the documentation listed in the Lender Program Manual.

Life events: death, divorce, marriage

Death of a borrower

If a borrower passes away, the surviving borrower (if any) may continue to hold the property and the silent second; no acceleration is triggered by death alone. Heirs may (1) keep the home and assume the property subject to the silent second, (2) refinance into their own first mortgage and pay off the silent second from the refinance, or (3) sell the home and pay off the silent second from sale proceeds. Contact Dream Home Fund within 90 days of a borrower's death to begin the process.

Divorce and buyout

If you and a co-borrower divorce and one party will keep the home, that party typically refinances into a single-borrower first mortgage and at the same time pays off the silent second. Dream Home Fund does not assume the silent second to the remaining party; the silent second is paid off at the refinance. Contact us as soon as the divorce decree assigns the property so we can coordinate timing.

Marriage / adding a spouse to title

Adding a non-borrower spouse to title generally does not trigger the silent second so long as you remain an owner-occupant. Notify Dream Home Fund of any title change within 30 days.

Family revocable living trust

Transferring the property into a revocable living trust where you remain a beneficiary and continue to occupy the home is permitted with prior written notice to Dream Home Fund. Email us a copy of the trust certification before recording.

First-mortgage hardship

If you are facing hardship and cannot keep your first mortgage current, contact your first mortgage servicer immediately. They can discuss forbearance, repayment plans, loan modification, or other loss mitigation options. Dream Home Fund's silent second does not interfere with these workouts and we will coordinate with your servicer as needed.

You may also contact a free HUD-approved housing counselor. Find one at hud.gov/findacounselor or by calling 1-800-569-4287.

If a Notice of Default is recorded against your first mortgage, Dream Home Fund's silent second becomes immediately due and payable under the terms of your note. Please contact us at the first sign of difficulty so we can talk through options before that point is reached.

Annual statement

Once per calendar year, Dream Home Fund will email each active borrower a simple year-end statement showing your principal balance, accrued interest as of December 31, total amount owed, and the year-end statement of the loan's good standing. This is informational only; you have no payment obligation.

If you would like a current statement at any other time, request one via info@dreamhomefund.com.

Contact us

For any current-borrower question, write to info@dreamhomefund.com. Include your loan number, full name, and property address so we can pull your file.

For complaints or grievances about Dream Home Fund's handling of your loan, see our Complaints & Grievances page for the full escalation path, including external regulators.