Posted by JJ-Kc on August 16, 2003 at 12:47:07:
If I was a lender I wouldn’t turn you down because you would have too much to risk if you did default.
just my 2 cents
What would a lender think of this? - Posted by Bill
Posted by Bill on August 15, 2003 at 21:03:19:
A local family got into trouble with the law and is selling cheap to get out of town.
Beautiful, newer 3/2 selling for 219k with a FMV of 275K!!
I am a contractor and have inspected it…it’s in great shape…just needs some interior paint.
Unfortunately, I have the worst possible credit due to some fraud committed by two of my nephews. I am getting that straightened out but wouldn’t have it hashed out in time for getting a lender.
My question is, if I put down 100k and had 100k in the bank, with great income qualification, would a lender still turn me down because of the bad credit?
I hate to come out of pocket with 100k when I could be using it for deals but I’d like to pick this deal up and don’t know how to work around my credit. I’ve been using cash the last few years but for properties under 100k.
Thanks for any advice…I’m also posting this on the financing board.
Bill
Re: What would a lender think of this? - Posted by Marc NJ
Posted by Marc NJ on August 18, 2003 at 23:41:24:
No, with a50% LTV the banks ,your bank, should have no problem with this. If they do, get a co-signer. Ihave Loan brks that can get just about any one approved at alow LTV>
Good Luck.
Marc NJ
Re: What would a lender think of this? - Posted by Brent_IL
Posted by Brent_IL on August 16, 2003 at 15:26:11:
Go and talk with a higher-level loan officer at your bank. Take a portfolio of completed deals with you. You might want to mention that if you have to go to another bank to get funding, the $100,000 in cash is taking a walk with you. Banks are authorized to make a percentage of current cash balances as loans. There are different percentages for liquid accounts and longer-term accounts. Losing $100,000 might prevent them from making $20K or $30K of loans and collecting fees. If they lose you, they forfeit future income.
The size of the down payment alone should convince them to make the loan.