OfflineHello All!
I need advice on helping a buyer get the house they want. I sit on a very unique opportunity of prospective buyers calling looking for a home, these buyers are throughout the country. However for this particular deal the lady has found a house and the seller needs the 6k down payment so they can have their closing cost. The buyer doesn't have the 6k, but has a 50k valued RV (Recreational Vehicle) she wants to use a collateral to get the 6k for the down payment. When she closes on the deal she is looking to have the housing tax credit pay the loan back for the 6k. How can I find a lender for her down payment or for the entire amount of the home which is 5Ok. I do understand for the lender they may want to be placed in the 1st position, pending default from the buyer. Can someone please pass on your expertise to this matter. It would be greatly appreciated....MPowR Inc.
As the banks have tightened up the rules things may have changed. If I'm not mistaken, she could get a collateral loan with the title to the RV as collateral, providing it has adequate value. Then with the same lender(bank), set up a new mortgage for the home and at closing the title company directs a payoff amount back to them in the amount of the collateral loan. This would be similar to a bridge loan. The FMV of the home has to be there as well, for the lender to go along with this. From what I understand, they will only lend 60 - 80% of FMV. Good luck and let us know how this turns out.
A few simple questions if you don't mind ADVOCATE!
1. Does the loan have to come from a bank, she mentioned her bank turned her down.
2. Is there any possibility that a hard money lender would take the RV as a collateral for the FMV of the property.
3. If you have info on "Bridge loans please direct me towards it.
Thanks Again
p.s anyone elses advice is greatly appreciated as well..