Posted by Meg on August 05, 1999 at 19:42:07:
Where does one go for non-conforming lenders?
why we don’t use banks - Posted by simmy
Posted by simmy on August 05, 1999 at 12:00:18:
Just a commentary on the pitfalls of using a bank for financing for those of you still leery of creative financing. Not to long ago, I went to a recommended bank and gave them the required materials, i.e. financial statement, 3yr tax history. This particular bank uses the national risk score instead of fico scoring. My risk score per this bank was a 9. The lender stated this was awesome, no problem credit here. So what did all that get me? 20% down PLUS closing costs. And for them to loan on me again I would have to show 3-4 months payment history.
I had cash in the bank but apparently not enough. I thought some of you might enjoy what excellent credit will get you at a bank. This is why you should use hard money or just flip your properties and use the credit from non-conforming lenders as backup. Thanks for letting me share my example.