Article Score0

My wife and I found a big fixer in established neighborhood. We have had enough of the deposit, but we really need a 20k extra to do the work needed on the house. Is there a bank that is 70k, a home that costs only 50k going to buy? House expertise and over 100k. We have an excellent credit.

2 Thoughts on How can I borrow more money than the price of a house?
  1. Reply
    Kasey C
    February 14, 2013 at 3:56 am

    Show the bank the appraisal, have them confirm it (maybe with their own appraiser), and see what they say. Shop around different lenders and see who bites. The apprisal needs to be very recent, though.

  2. Reply
    ibu guru
    February 14, 2013 at 4:17 am

    If the Loan-to-value (LTV) is 70% or less, you have the down payment, closing costs, and 3 – 6 months of reserves saved up, and your credit is excellent and income reliable, you have a chance.

    Talk to your banker first, show him/her your printout of your credit report, and your figures you have worked up on purchase price, costs to repair, any info on current as-is appraised value. “A nice little chat” with your banker where you have established a relationship is your smartest first move. No application fee, no pulling credit report until you decide from your banker’s educated opinion whether you have a good chance on a mortgage or not. Then, if applicable, apply.

    Leave a reply

    Register New Account
    Reset Password