Lender's req on borrowing money for investment property

[Ratna E.]

Hello BPers,

I can't thank BP enough for the motivation it gives me every day to pursue my real estate dream. It is a great platform to learn and be motivated.

I'm in a situation where I'm under contract on a SFH and I'm little short of funds. I haven't talked about it with my lender yet but I've read online that gift/borrowed money from friends and family will not be approved by the underwriters under Fannie Mae or Freddie Mac guidelines. As the lender usually asks for 60 days of bank statements to make sure the funds are mine, how can I show the money I received in the proof of funds.

Has anyone been in a similar situation before? Please help.

Thanks,

Ratna

[Harjeet Bhatti]

@ Ratna E. You can use 401k funds for down payment or if you have HELOC which you can use as down payment. Your IRS refund will be consider as seasoned funds.