Posted by Michael Morrongiello on May 04, 2000 at 24:15:28:
If your payment history on the lease has been timely and can be clearly documented for the last 12 months or longer you should be able to seek a “sub prime” lender that can work with you.
Another option to consider is to aproach the seller and see if he /she would prefer to have their cash sooner rather than have to wait out the option time frame. They can agree to roll you into an owner financed or seller financed mortgage that if structured correctly can be immediately converted into cash proceeds to them. Yes there will be a discount upon the sale of the mortgage, but you will avoid a lot of other lender “junk fees” like: origination points, broker fees, prepaid escrow set up fees, survey fee, tax service fee, application fee, etc. The rate and terms may be more favorably that what you are able to obtain from a sub prime lender.
Michael Morrongiello
Need financing to exercise my option!! - Posted by J.Kastrava
Posted by J.Kastrava on May 03, 2000 at 18:58:23:
I could use some information about financing an option on the house that I live in.
I Have 5 yr L/O with 14 mos left before I must purchase this home. The agreement calls for $250.00 of each Mo. payment to accrue toward the purchase price of 160K. At present I have accrued 11,500 toward the purchase. Although I have a year plus left I think I better get moving on this because the property has gone up considerably in value and the legal owner would like nothing better than for me to just walk. The FMV of the property is about 200-205K.
I want to know if I can get financing based on the equity in the property. My mortgage credit is bad because of a BK about 6 years ago. I am self employed and cannot show much income. My wife filed BK 7 yrs ago and has 1 year on her job.
What it comes down to is I need about a 72% no Qualify no peek loan. I did include a right to assign in my original agreement, but we want to continue to live here for a couple years yet. What are my chances…Anyone?