Can I use a loan to pay for down payment for a FHA Mortgage

[Yasmin Mohamed]

Hello, I want to get my first multi-family home using an FHA Mortgage. I don’t have cash but I know I can get approved for a line of credit that would cover my down payment. Would the bank consider me a risky lender even if I have a great credit score?

[Roger Lee]

Back in the day you could do this, but now the rules are more stringent. The 1st loan will definitely affect your debt to income ratio and then affect your chances of getting the mortgage. But because you do have good credit, I would still ask some local banks to see what they would approve you for.