Posted by Sean on December 22, 1999 at 14:03:25:
Perhaps according to the lease-option he has the right to purchase the property for $80,000 and he needs to borrow all $80,000. Perhaps the lease-option was years ago and now the property is worth $100,000. Who can say?
If he needs to borrow 100% of the Fair Market Value of the property that isn’t too much of a problem if he has a very fine FICO score. There are places where I’m at that will loan up to 125% of the Fair Market Value for owner-occupied property on a purchase-debt consolidation combined loan. The interest rate isn’t what I’d call good, but it can be done.