New Member Alert

[Account Closed]

Hey , Bp ( new member alert) I'm so glad I found this blog cause I have an enormous amount of questions. To begin , I've been contemplating on investing in real estate for quite a while and I finally about two months ago decided to formulate a plan. I'm an autodidact so learning is a thrill. There question I have you guys is do mortgage loans only apply to homes owned by banks or the.gov't ? and say for instance I wanted to buy a home that is free and clear can I get a mortgage loan from the bank or just a loan ? Thanks

[Ned Carey]

A typical example

Seller sells you a house for $100K

You put up $20K

Bank lends you $80K

Your $20K and the Bank's $80K go to the seller

You owe the bank $80K

Bank has mortgage on house so if you do not pay they can sell the house to get their $80K back.

Does that make it clear? - Ned