Qualified for loan,but no money for downpayment!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! - Posted by Robin

Real Estate Investing
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Posted by Ed Garcia on January 27, 2000 at 21:19:07:

Jim:

What are you talking about. When I made the statement, ( Mr. Piper’s suggestions, I’m not sure are that applicable to you.) I meant that your suggestion of ((Why do you need a down payment? Wholesale some houses, or do some lease/options.)) That would take time, and to be quite frank with you, be a waste of time.

This investor has great credit and has been pre-qualified for a loan. Why would she take steps back
words, and find a deal for a down payment. Piper, wake up this is the year 2000. Besides she may
not live in Missouri.( grin) Jim, when you say she may not need a loan you’re right.
There are defiantly other ways for deals to be done. But rather then get into a shoot out with you over
which technique is best, which would depend on what your trying to accomplish anyway. I would rather
show her how to do what she was requesting to begin with.

Jim, just go to bed tonight and say a little prayer, and thank the lord that old Garcia is not in your area.
I knew I shouldn’t have said all of those nice things I said about you last week.

(smile)

Ed Garcia

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Qualified for loan,but no money for downpayment!!! - Posted by Robin

Posted by Robin on January 27, 2000 at 04:55:33:

Is there away to get around this?Where can I get the money from my resources are tapped out?

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Why not 85% first/ 15% 2nd…= 100% loan? - Posted by Bilm

Posted by Bilm on January 29, 2000 at 10:32:11:

I have sources for both owner occupant or investor. Rates are higher than conforming, of course… but if the deal is good, getting the deal is the more important issue. Costs a LOT less than getting an equity partner.

Bill

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Re: Qualified for loan,but no money for downpayment!!! - Posted by Tommy_FL

Posted by Tommy_FL on January 28, 2000 at 19:18:05:

To Robin, try to E-mail you some Info on how to reach my mortgage broker…came back message undeliverable with address error? Please send me your email address again, thanks, Tommy…

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Re: Qualified for loan,but no money for downpayment!!! - Posted by Ed Garcia

Posted by Ed Garcia on January 27, 2000 at 15:42:50:

Robin:

You don’t say if your deal is going to be Owner Occupied, or None Owner Occupied.
It makes a difference in your LTV.

The post that Hugh James posted to you is only accurate if you’re Owner Occupied.
If you are none owner occupied, then FHA is null and void, and sub prime is 90% LTV.

Washington Mutual has a program which is called, no income no asset verification.
They go 75% no questions asked, allowing you to do a seller carry back for the other 25%.

Joe Brillante’s suggestion is a good one. Tommy’s post is a possibility from time to time with a portfolio lender, but not one you can count on.

Mr. Piper’s suggestions, I’m not sure are that applicable to you, except the part of knowing how to structure your deal, that’s Paramount.

I find that most people prefer to have a game plan before they go out and make offers.
It’ gives them more confidence when making an offer.
When making an offer with such confidence, that confidence level is felt by the broker, or seller, and in turn makes them feel confident that the deal will go down.

Robin, you’re there. Now you need to learn different ways to structure deals that fit your
situation. My suggestion is for you to call me or better yet, go out and find a deal.
When you do, you can call me and I will help you structure it. I prefer to work with real
circumstances, rather than talk hypothetically.

Ed Garcia

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Re: Qualified for loan,but no money for downpayment!!! - Posted by Tommy_FL

Posted by Tommy_FL on January 27, 2000 at 13:15:31:

Depending where you are, I just purchased a condo for rental purposes and got a 100% line of credit on purchase price from First Union Bank as 1st Mortgage. Apparently it’s a new program, check with mortgage broker. My condo was appraised at 72K, I bought at 65K, the bank loaned me 65K at 8.5% investor’s loan, non owner occupied. If you’re in South FL, I can refer you to my Mortgage Broker.

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Re: no money for downpayment - Posted by JPiper

Posted by JPiper on January 27, 2000 at 08:37:39:

Why do you need a downpayment? Wholesale some houses, or do some lease/options. Structured correctly you’ll need no downpayment.

JPiper

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Re: Qualified for loan,but no money for downpayment!!! - Posted by Hugh James

Posted by Hugh James on January 27, 2000 at 07:17:42:

Sub prime lenders will loan 100% (usually on SFR only) if your credit qualifies. FHA will allow a 100% gift from a family member or qualified party. (At least they used to. They can change on a whim.)

Just a couple of ideas. I suggest getting in touch with a really knowledgable mortgage broker who knows non-conforming loans.

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Re: Qualified for loan,but no money for downpayment!!! - Posted by JoeB(Atlanta)

Posted by JoeB(Atlanta) on January 27, 2000 at 06:59:57:

Would cash advance on your credit card(s) work? Or does the lender need to see money ‘seasoned’ in your bank account?

Joe Brillante

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Question for Ed Garcia - Posted by Doug

Posted by Doug on January 27, 2000 at 23:53:23:

Hi Ed,
You mentioned in a post about Washington Mutual having a no income, no asset loan program. Could you please tell me a little more about that or just tell me how I might get in touch with them? Thanks!

Doug

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Re: Will you help me with my deal on the table? - Posted by JeneanNC

Posted by JeneanNC on January 27, 2000 at 19:47:37:

I have a seller beginning in foreclosure agree to sell me their home for $4,000 over loan balance. The balance is around $95,000 (they are verifying this week). The FMV is around $125K.

I want to have them sign the deed over on a general warranty deed, then refi and pay off the first loan. I then want to do minor repairs and put the house back on the market for sale.

I don’t want to buy now, investor 10% down will be a problem. I just want to tie the property up long enough to do repairs and resale. I have to move quickly because they are (3) three month behind on their mortgage payment.

If I have the warranty deed transfered, will I have to catch up their back payments if they are in a backruptcy? I appreciate any help you can provide. Thanks!
Any suggestions?

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Re: Qualified for loan,but no money for downpayment - Posted by JPiper

Posted by JPiper on January 27, 2000 at 18:12:34:

Hey Ed:

The way my suggestions would be applicable is that lease/options and wholesaling are two techniques that don’t require downpayments. When you talk to Robin on the phone you might mention that a loan isn’t necessary to make money in this business.

JPiper

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Re: Will you help me with my deal on the table? - Posted by Ed Garcia

Posted by Ed Garcia on January 27, 2000 at 21:53:14:

Jenean:

I like the first part of your post, where you say, you would like to have the property
deeded over to you. But when you mention that then you would set it up to refinance
it, then fix it up to sell. I say NO. If you’re going to fix it up and sell it. Then why
would you go through the cost of a new loan.

I would have them deed it over to me, cure it like you intend. Have them carry the
$4000 until you sell it. Your selling point to them is you’re saving them from a foreclosure,
and when the smoke clears, they will make $4000, they would have never made.
I would also explain, that you have to spend money for the fix up.

I would just make the payments on the loan until I sell it. Don’t worry about assuming the
loan, you shouldn’t own the property long enough for that to be a concern.

If you need any further help, call me at (909) 944-0199.

Good luck,

Ed Garcia