Posted by Nate on January 07, 1999 at 24:23:10:
Hey Robert-
if you get any answers on this, forward the repsonses to me @ n8rooa@aol.com
Thanks!
Trying to get 100% financing - Posted by Robert N.IL
Posted by Robert N.IL on January 06, 1999 at 19:41:26:
Owner agrees to take back 20% 2nd. Looking for 100% financing on 1st. One broker said no way need 5% of my owe money. Is this true? If not, can anyone recommend
where I might secure 100% fianancing. Property is a 4 flat
selling price is $75000. and will be non-owner occupied.
Thanks for any help in this matter.
It will be tuff with a N/O/O. - Posted by FJW
Posted by FJW on January 07, 1999 at 19:07:41:
100% loans are obviously available if you have good credit, but mostly to Owner-Occupied. The CLTV is lowered on Non-Owner-Occupied because of the obvious greater risk to the lender. If you become a disgruntled Landlord and have nothing in the deal, it’s real easy for you to walk away.
It sounds like the broker you have has a pretty good deal if you can get it. 95%CLTV isn’t that bad for N/O/O.
Of course, if you do find a lender that does 100% CLTV on N/O/O, PLEASE spread the word.
FJW
You CAN find 100% financing - Posted by Randy -IL-
Posted by Randy -IL- on January 07, 1999 at 16:05:46:
100% financing can be done but it does not always mean one loan/note/mortgage. As you know, getting 100% financing is not as easy as simply asking a broker for money. You need about $4000 + closing costs. Ask yourself these questions:
Do you have anything of value? What I mean by that is do you own anything you could borrow against? House, car, boat, etc? You may be able to borrow against these things. Is there an agent invloved in the sale? Will they hold a note for the commision? Did you ask ther seller to hold a second? How about the seller holding a note secured by another property you own? Have you tried calling family members? How about offering your dentist/doctor/pharmacist a good return on a note secured by RE? How many brokers have you contacted?
I live in a town of only 14,000 people and more than 20 different public lending sources (Banks, brokers) in city limits. More than 50 different lenders in a 25 mile radius. Call every single one! Ask for an appointment. Bankers like to see a winning business plan ON PAPER. True, that is quite time consuming, but the return on an investment of $0 is infinate!
Colonel Sanders tried to sell his KFC idea door-to-door to over 1000 people before becoming filthy rich in the restaurant biz. Hugh Hefner only spent $600 to start his enterprise. Abraham Lincoln was defeated in state and local elections numerous times before becoming President. He even had a couple of failed businesses!
I personally know of a new college grad who needed $500,000 for a new business idea. He visited over 100 banks before finding one that gave him the credit. He is now a millionaire with a $10M credit line.
FedEx was an idea written by a college student in an assignment paper. The idea was laughed at by the Professors at the college. After all, NO ONE can be faster than the US Post Office. Those professors now probably wish they could could have encouraged the student with the silly idea!
It is not my intention to confuse you or ask too many questions. These are only questions that you should ask yourself to find the 100% financing.
PERSISTENCE PAYS BIG!