Using a 401K as leverage?

[Alexander Lang]

Hello everyone!

Is it possible to approach a lender and ask them if you can leverage your 401K plan to take out a line of credit? Is this even possible, or will it mess up anything with your 401k? Obviously there are risks involved, but just curious if this would be possible? I don't have enough LTV to obtain a cash out refinance but want to get deal number two going. I am looking for more creative financing ideas. My lender states they will issue me 10 loans total (conventional) although I would need to come up with 20% down on each so I am looking for ways to pull capital. I have one rental Valued at $170k with $122k remaining. Thinking of trying to obtain a line or credit for down payment options. Any ideas?

Thank you in advance!!

[Dawn Anastasi]

I have used my 401(k) statement as "proof of funds" on many purchases, then secured financing another way.  So you may have that as an option.