What am I missing?? Help!!(Long) - Posted by Karen

Posted by mike on November 18, 2000 at 23:16:08:

do they have a website, or do you have a number handy,

What am I missing?? Help!!(Long) - Posted by Karen

Posted by Karen on November 13, 2000 at 01:45:59:

Ok I have a question for any and all investors.
I have read everything I can get my hands on about creative financing. No money down and such. I have also been a mortgage/real estate broker for the last 5 years.
Question is: How is anyone out there doing no money down deals when lender financing is involved, I’ve read about giving a note on another property for downpayment, deferring the downpaying, borrower the downpayment from real estate broker, Bringing in a partner with the downpayment, etc… etc…, but I have searched far and wide, and unless your credit is perfect 640+ scores, I know of no lender that will allow 100% CLTV, even if they are only loaning you 65% LTV, CLTV is CLTV to them. The same thing goes for getting cash back at closing, I understand credits for rents, deposits, etc., but if the lender requires 5-10% down payment you must not only show up with Certified Funds in most cases it must be seasoned funds(60 Days).
Could anyone please post a success story telling the small details that make these deals work.

I have wrote many of creative offers for my clients, seller accepts, then lenders decline because buyer has no CASH into deal. Please Help!!

Also as to the Lease/Option all my lenders treat these as purchases no matter how long they have been into effect. How are those of you doing these getting them refinanced?

Thank you for your patience with this post.


Re: What am I missing?? Help!!(Long) - Posted by SOPHIA CLARK

Posted by SOPHIA CLARK on November 14, 2000 at 21:26:14:

i have lenders that will lend 100% on a purchase customers beacon(600)these lenders also will let sellers pay up to 6% of the closing.i always ask sellers to pay all of the closing or at least some.lets just say they declined then i just simply ask sellers if they mind if i up purchase price to cover closing costs.this has never been declined.to the lender it looks like seller is paying the closing cost but actually the buyer is financing.but be careful make sure your house will appraise for the new purchase $.i can say i have never had a problem with this.i have only closed loans.and for the lease contract i just change it to a land contract just make sure you have 12 months canceled checks for lender.

Re: What am I missing?? Help!!(Long) - Posted by dewCO

Posted by dewCO on November 13, 2000 at 23:18:00:

Northamerican morg. has 100% CLTV for those with great credit.

Re: What am I missing?? Help!!(Long) - Posted by MikeMn

Posted by MikeMn on November 13, 2000 at 06:56:45:

Hi Karen,

A land trust can be used to acquire properties,
whereby seller retains ownership to title and buyer can do what needs to be done. When the property is
sold, both parties share in the profit, or
as agreed upon in the contract.

In most cases, the use of land trusts can
replace Lease options, Cds, and other owner
assisted arrangements.

You can search this board more on land trusts, PACtrust, etc…

My favorite method, however, is using my own private
lenders. Having worked in the financial service
industry I’ve been able to build client list of
IRA investors, and other high risk investors.

They typically borrow money to me and/or my buyer
@ 12-15%, 6 Points, interest only, 6 month
prepayment, and due in 3-5 years.

Most people should be able to refinance within
that time frame.

These folks don’t care about buyer down payment.

Primary focus is LTV.

Another method that I use is option to buy. Most
people, realtors ™, and investors are limited
to traditional financing methods. The option
allows me to control properties while I line up
the $$$$$$$.

I’m sure there are other methods, but I like to
keep it simple. If I have to educate sellers, in
most cases, they will say no.

I want to be able to have people call me, and
then put them in touch with my attorney for

I hope this helps.