Best RI Bank / Credit Union for Creative Financing

[Matthew Jonas]

Bigger Pockets Community,

Lately, I have been submitting offers to sellers asking them to carry ~25% LTV (i.e. the down payment amount). This allows less investor capital to be put down on a property while getting the seller a higher asking price, but the trouble is that banks and credit unions typically want to see some form of cash (or 'skin in the game') before loaning.

Have any investors found a bank or credit union around Rhode Island who's willing to lend up to 75% LTV even though there's not a formal down payment? Any referrals are highly appreciated!

FYI - I can show how the property will be cash flow positive even with a 1st mortgage (from bank) and a 2nd mortgage (from seller financing), but finding a lender that's OK with this is harder to come by. All help is appreciated.

Regards, Matt

[Cody L.]

I've done this with seller credits. They don't have to carry the debt.

Rather than pay $100k and bring 20k to close (80% LTV), raise the price to 112k, have seller credit $12k to close, and bring $10k to close for 90% v 80% leverage.

I used to do tons of creative stuff when I started as I had no money.

I've done straight seller carry seconds but they would be unrecorded so lenders wouldn't cry about it