Closing costs

Can you get closing costs wrapped into a loan?

I don’t think so, but you can negotiate for the seller to pay some or all, I believe.

There are lenders out there that will allow a loan amount of 103% for non-owner occupied and 107% for owner occupied.

Who are those lenders?

Homecomings is the company that I use for my 103/107 loans.

Where can I find them? Do they have a website?

The product you are looking for is I believe called the homeowner 103/107. If you can’t get anyone on the website shoot me an email and I will help you out with it.

Are you buying the property NOO or Owner occuppied??

Generally if its NOO, you can roll upto 2-3% of the closing cost, plus many will allow upto a 3% sellers concession.

I did 2 preconstruction homes that allowed me to roll all my closing cost which was close to 7% because of the crazy fees they like to charge on preconstruction into the loan. It was with national city bank…


On the loans you did with National City, were they 1X closes on investment properties? I have read through their guidelines and saw they offered that program, but I have never spoke to anyone who used it. Was it difficult to get the loan closed?

They have 1 closing but its construction to perm.
Yes it was very difficult to close, in fact it took 4months to close, they kept picking the loans apart and asking for info, they wanted bank statement and paystubs every month. It was crazy but when your buying 2 homes and using no money, you have to play by their rules. I even financed the appraisal fee which is rare…
They will use the appraisal value instead of the purchase price which is what I did. The home appraised for $285K, and I was paying $225K…so there was enough equity to roll it all in using a full doc with a 90%LTV based on the 285K appraisal…

From what I hear, the best program for preconstruction, but very hard to close, they really go thru the loan package and keep asking for more and more info no matter what…

If you don’t mind me asking… How far along on the construction are you? Have you found buyers yet?I have three construction jobs going myself. I am trying figure out what is the best way to go about getting the next three. I did interim loans on the three I have now, but I was thinking of using National City for my next project. With enough equity in the house, they will also allow you to have a interest reserve account as well to pay the payments during construction. Correct?

The construction is new, the builder just finally got the permits as we closed Oct 31…It takes 3 months or so in FL to get permits because so much building going on.
Also the interest was rolled into the loan as well, they rolled about $6500 into it and the builder will pay the interest on the draws but if it exceeds 6500 then I have to pay the rest in the build.
My builder will have the homes built in about 3months time from start to finish, i know they plan on starting before the end of Feb so completion shouldbe around June hopefully…

I have some other homes as well with other builders and some are in the middle of being completed…

The good thing is when you have a preconstruction loan and not being built on spec, you are allowed to market and list the home on the MLS since you own the land. Some homes I am doing are spec so I do not close till the home is built, I can not puit them on the MLS or show photos…

I meant closing costs for an apartment building. Isn’t that website just for residential?

I think it is. I never seen over 100% financing for commercial. That’s normally one of the first requirements from a commercial lender.

You can always try to negotiate with the seller to pay the cost, if not, There are several other ways to come up with the closing. Usually 2-4% of the loan, so for example, on a $1 million, you’re looking at $20k-40k in closing.


I never heard of a lender doing more than 90% LTV on commerical…If anyone knows one, I like to get their info…