Posted by Angel Gutierrez on June 21, 2001 at 22:54:25:
Yes and no. Yes if you live in ANY state but Texas. Sounds bad, but it’s true. There any many ways of structuring this kind of deal so you get what you’re looking for. Time to go to school!
Angel
Dallas, Tx
equity question - Posted by JB-TX
Posted by JB-TX on June 21, 2001 at 11:03:19:
I have a simple question. If I were going to buy a house for $100,000 and it got appraised for $130,000, do I automatically have $30,000 equity in the house. And if so, would a conventional lender normally waive the 10% or 20% down since I already have this equity. Thanks
Re: equity question - Posted by Mike
Posted by Mike on June 23, 2001 at 10:50:24:
Most lending banks finance properties based on the lower of the appraised value and purchase price. In every purchase I have made through a bank the purchase price has been substantially lower than the appraised value. Unfortunately the bank will only finance based on the purchase price. However, once you own the house and you feel you have gotten a great deal you can refinance which will be based on the appraised value. This way you can get some cash and in many of my purchases resulted in no-money down purchase.
Re: equity question - Posted by Angel Gutierrez
Posted by Angel Gutierrez on June 21, 2001 at 22:54:30:
Yes and no. Yes if you live in ANY state but Texas. Sounds bad, but it’s true. There any many ways of structuring this kind of deal so you get what you’re looking for. Time to go to school!
Angel
Dallas, Tx