Cash Rich - Income Poor Financing?

From what I’ve been reading, it seems that I am in a unique situation.

How hard would it be to get financing if my credit is on the shaky side, have no job, but have close to 100K in the bank (approximate return from sale of my house)?

Looking to move to Ohio (from Florida), and I will have no job initally and am considering buying one of those old brick “quad family” in the Cleveland area. They seem to range in price from $80K to $300K.
(My target is about $150K-$200K)

(Looking to live in one and keep the other 3 rented for a while).

Anyhow, I’m new. Thanks in advance for your responses!


Do you have a job now? If so, get the loan before you move, it will make your life easier, and save you some $.

With that much cash, you could make a nice downpayment, which would open your options up to a no-doc loan or HML. There are other guys on here who can help you more with those.

Just wanted to point out the first part.

Unfortunately, I’m unemployed now also. :-[ So no dice on a loan at present.

My house in Florida is under contract to sell at then end of the month, and if everything goes right I’ll pull about 60K out at closing. (I had a bit of “pie in the sky” on the value of my house, but it’s still decent.)

I’ll probably keep $10K of that for moving expenses, reserves, etc.

I have my eye on a quad in Ohio going for $160K.

It appears to be 3/4 full right now with rents at $475 a month per unit.
(Perfect as I can live in the vacant unit, and the remaining rents I collect would at least cover the mortgage.)

In a nutshell:

$160,000 cost of Quad

  • $50,000 down payment / closing costs

So I need a $110,000 Mortgage. (Approx)

I’ll be taking in monthly ($475 x 3 occupied units) = $1425

… But have no job (initally), and shaky credit. (No bankruptcy or anything like that, just a few months of late payments due to my unemployment.)

What sort of loan should I be looking at? Standard mortgage, No-doc loan? Hard money lender?

My goal is “rent free” living while I find a job (Hopefully within a month).
Then hopefully add this income stream along with money that I get when I find a job to give me more “purchasing power” to buy more rental units for investment/income.

Would this even be do-able?

Thanks again for any advice.


Also, would immediately taking ANY job improve my odds/get me a better rate?

I’m sure I could immediately find work at any “McRestaurant” or whatever while I hunt down my $40-50K IT position, but I won’t do that unless it helps signifcantly.

Thanks again,


How long have you been unemployed? Depending on the time there may be some stated programs that you are eligible for.

You know, if you’re going to be able to rent the other units to cover the mortgage, don’t worry so much about the rate in the short term.

There are plenty of sub-prime lenders that will give you a no doc loan even with shaky credit if you are putting the right amount down, at min 20%.

Once you find your “perfect” job, you can come back and refinance at a full doc to get the better rate and improve your cash flow on the property.

I’ve done many deals like this for my clients selling in CA (big money) and moving to NM buying a house twice the size for half the amount. Once they get established, we refinance them and life rolls on.

Consider it a temporary hold over for you. It is a tool to get you where you want to be in the future.

Good luck.