Re: Cosignors - Posted by Michael Morrongiello
Posted by Michael Morrongiello on July 01, 2001 at 20:37:54:
A co-borrower will add some benifits to the weak primary payor especially if the co-borrower has reasonable income and a strong credit background. However they may not by themselves make or break a deal.
Most note funders (including ourselves) will look to the property and the primary payor, their income, employment stabililty, credit profile, credit scores, as carrying more weight from an underwriting perspective.
It may be possible to offset some of the issues of concern and risk by bringing in a co-borrower or also by lowering the actual LTV % of the note that is being created and to be converted into cash.
As for the owner occupancy of one of the 3 units in the triplex, that would be typically viewed as a plus especially if bonafide leases exist that bring in additional monthly income off the other 2 rental units.
To your success,