All Forum Posts by: Kale Leavitt

@Joe Splitrock I would have been fine sending a screenshot showing I had the 10% down in our bank account, but the seller wanted to see if we had enough to cover 20% even though our pre-qualification letter showed we qualified for the amount with 10% down. We felt that this gave them leverage to ask for more than what we offered. They probably would have countered at that anyway but it is hard not thinking in the back of our mind that they only countered at this because they saw we had the funds to cover it via screenshots.

@Jay Hinrichs that makes sense. I know we had to provide proof of funds within 3 days of acceptance, but I had never heard of doing it before the offer was accepted.

We are in the process of buying a second home with 10% down. We sent in a purchase contract offer and our realtor came back and asked for screenshots of our cash reserves in order to show the seller that we could put 20% down if needed. We felt that this only gave the seller an excuse to ask for more as it showed that we had enough in our account to cover more. As soon as I sent them over I regretted it and the more I thought about it the less okay I was with it. Sure enough, they came back and asked for more. So my question is, is this a normal thing to do? I have never experienced it but have not had very much experience in real estate. 

I am new to real estate investing and really intrigued by the short term rental strategy. I recently sold my first business and have a good chunk to invest in my first property. However, I found by talking to a lender that potential rental income cannot be used in debt to income to help qualify for the loan in short term rentals, only in long term rentals. Has anyone found a way around this? With a new property my debt to income increases to around 55% without the income from a short term rental property.

Thanks in advance!