First Home?
We are buying our first flip property and our mortgage rep said that we have to have 10% down is this typical?
We are buying our first flip property and our mortgage rep said that we have to have 10% down is this typical?
Typical if your not an investor,
-You could do a 80% 20% Loan with nothing down but the closing costs
-OR a 80% 15% w/ 5% down and closing
-- you could do a owner financing depending on if they are willing to carry back a note.
-- You could assume there lown and then have them take there equity in payments at a interest rate or and only do a balloon if that is the only way to do the deal.
many many many options
just find out what the seller needs, is there an agent present in the deal or fsbo
Dave
Thanks for the response.. I am an agent (new to the business) and I am just trying to start off. I could use any help you can give me. I am in Michigan
Kandra,
You should sit down with the rep and ask why you need 10% down. There are many programs. You should find out what blemishes if any are keeping you from getting a higher LTV. Find out how your debt to income ratio is. Find out what strengths are on your credit as well as any weak spots. Ask them what needs to be improved. Also make sure they are familiar with REI'.
Lori
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