I have buyers, they are approved for 95% of the mortgage, and have to come up with 3k, by a loan from a bank or something similar. The lender said that we are not allowed to adjust the price and me give them the money. They have been turned down by local banks for a 3k loan. This is all that is finally holding up my first rehab from gettting sold, and I desperately want to help these kids get into it. Any ideas on who might loan them 3,000? Thanks in advance.
Almost all lenders will allow a “gift” of downpayment from the buyer’s family member, such as parents, siblings, rich grandparents, etc.
If that is not the case, then do they have anything to sell to raise the money? In most cases, the lender wants the down payment to be seasoned some, but if they can prove that they sold something to get the money, that usually works, too.
If you are willing to give them the money but the bank isn’t allowing it to show up on HUD, and they actually have something worth $3K or more (such as a car), then buy it from them (or to stay an arm’s length away, have a friend buy it) for the $3K. After the sell, you can aways sell it back to them for a $1.00.
Raj
Worst case, they could do $3k worth of payday loans. No credit check. I saw a commercial for one today, that lets them make monthly payments. Super high interest rates I’m sure. Could be scarry though, it they can’t pay it back.
Have you tried shopping the loan out to other brokers. Sounds like you do not have an experienced broker if can not get the deal done for OO property. Get current copy of credit reports and income verification and start calling some brokers…
Remain neutral… emotional sales are trouble. look for other buyers.