All Forum Posts by: Miranda Holland

In private lending, down payment pricing is primarily based off the borrower's experience and credit scores. Down payment is usually between 10 and 20% of the loan amount. 

However, it's still worth it to apply for the loan offer. If you can't afford their down payment requests, they or some other lender might be willing to meet you where you are if it's a good deal 

If not the same way, very similar. You're mom would be in the same position as any lender if she held the 1st position mortgage note on the property. If you close through a title company or real estate attorney, you and your mom's position should be secured, that way your equity in the property should the same. 

Now if the paperwork isn't where it should be and it could be a potential mess as to who's entitled to whatever equity in the property. 

It's smart to save on dorm fees and just purchase the property. If I were you, I would work with a licensed mortgage broker to find a lender for this property.  

I'm a private money broker, and private lenders are unlikely to lend on this one because they lend to non-owner occupied properties only.  Your son living in the property will be considered a violation of that rule with most private lenders.

But I believe there are several institutional banks that will lend you the money and a licensed mortgage broker is the most efficient way to find them. 

Right now my borrowers are getting around 7% rates with credit scores in the mid to high 700s. Loans are designed to put the interest at the front. The way around that is to make extra payments on the principal and pay it off early 

I would call a title company and see if I could close through them 

Private lenders oftentimes have products that fund vacation rentals. The more experience you have as an investor, the less you're required to put down.  I just sent you a connection request 

Are you looking to put just 10% down? 

Alot of lenders have a seasoning requirement of 6 months or even more.  Some lenders don't have a seasoning requirement before refinancing. The further below 100k property value, the harder it is to find a lender to refinance it. The rates that I'm seeing now are around 7% 

At this point in the process, I wouldn't be trying to burn any bridges. I don't think there's a need to call lenders just to turn them down. 

The lender will likely follow up with you when they don't hear from you. When they call, just polightly tell them the truth without shutting the door on them.  Real Estate loans are complicated and can fall apart at anytime. Not to mention, certain lenders are coming up with all kinds of excuses not to close on loans these days.

You shouldn't be paying for an appraisal until you accept a loan offer.