Is it still possible to get 100% financing by having the seller carry a 2nd? I know most lenders for investment loans will only go up to 90% LTV max but does that mean they won’t allow you to have the seller carry the other 10%? Does the other 10% HAVE to come from your own funds, even with non-conventional lenders? If so, do any of them let you use credit card advances, gifts, or any other means to get that other 10%?
Ryan,
Unfortunately if you want to use conventional financing a seller 2nd is not an option. In today’s financing market the only real way to get 100% financing is to buy using hard money/private money and refinance into conventional loan.
about a year ago I called around to 6 or so local banks and about half would consider seller financing for up to half the down payment required- in other words 10% from me and 10% seller financing to equal 20% down-- but thing have definitely changed in the last year so I’m not sure if they would still do it, you may want to call them and ask the question. As far as where you’re 10% comes from if you ask the bank if you can use your credit card for your 10% they are going to say “no.” but if you put the money in your account and let it season for a few months then you should be fine, just understand you’ll be carrying the debt and depending on your situation that may change how desirable you are as a borrower. for more info on this creative type financing check out Ty Hicks www.iwsmoney.com, he’s been writing about this stuff for 30+ years