Can you get a loan from an individual to put down DP?

[David Flores]

I was wondering if people have or know if it is possible to get a loan from a friend to put a down payment down on a home. With this loan you would be paying off someone that helped you make the DP. 

[Tom Shallcross]

@David Flores - check with your lender.  Most traditional lenders will require to know source of fund for your down payment and you'll most likely have to show bank statements during the approval process.  Any large deposits will also require a letter of explanation.  Portfolio lenders might have a different point of view so talk to your local lenders. 

If this is owner-occupied you can also look to go the route of FHA and structure your deal with the seller to provide credit toward closing to cover a good portion of your 3.5% down payment at closing.