Seller Financing & DSCR loan
Hi
Does anyone give me a professional advice on seller financing?
As you know, recent interest rate has been increasing.
This increase killed my deal so many times.
Do lenders generally NOT allow a borrower to bring a down payment by using seller financing?
e.g. I purchase a property at $300K
1. Seller accepts seller finance for 40% of the price.
2. I will put a 10% down.
Do you think there is a lender who would be able to fund another 50%.
Yusuke
Most Popular Reply
Seller owns property free and clear? Seller can carry a note but 10% of appraised value is going to be the maximum second position HELOC or HELOAN full documentation, and you need 721 middle FICO.
Seller has an existing loan, no there is no second position purchase money loan unless you have 50% cash down into the deal. You would be doing a sale transaction with title insurance.
Other option is to put the cash down and shop for the HELOC/ HELOAN second after title is in your name.