How could I buy this without using my own money? - Posted by Robert


#1

Posted by DJ on November 25, 1998 at 08:23:42:

See if you can get the seller to lease option for one
year. Make all your payments on time, and keep cancelled checks.(Very Important!) In one year, you can
purchase the property as a re-finance instead of a purchase. On a re-fi, you can typically get 95%LTV, and
depending on the market at the time, some lenders will
go 125%LTV. Therefore, you get the purchase money and put some cash in your pocket. If you structure the option right, you should have a small amount of equity built up by this time. If you do any improvements to the property, this will increase the value as well. Make sure to check comps in the area, so you don’t get in over your Head! I learned the hardway! #1 Rule:
Do Your Homework! Good Luck!
DJ


#2

How could I buy this without using my own money? - Posted by Robert

Posted by Robert on November 24, 1998 at 10:29:36:

We want to buy this 3 flat, non owner occupied, the owner is willing to take back a 15% mortgage. Lenders still want us to use 5 to 10% of our own money. We did find one lender who would lend us 75% and doesn’t care where the other 25% comes from as long as their is not a second lien on the house. Is it feasible to ask the owners to take a 25% LOAN without it being a second mortgage, and how would you do it?