Zero Down Real Estate Investment Financing
Zero down real estate investment financing is now available at reasonable rates. While the rates for the program are considerably above the conventional market, they are nowhere near what a "hard money" lender would charge. Generally, these zero down real estate investment financing loans are set up as either 80/20 or 75/25 combination financing with the first trust set at 80% (or 75%) of the sales price to eliminate the need for Mortgage Insurance and with a second trust for the balance. However, I am now seeing some lenders offering one loan for zero down real estate financing with mortgage insurance built into the rate. I will be happy to run the numbers both ways to see which is better in your situation. Pricing on the first trust is somewhat more attractive on the 75% first with the second priced the same in all situations. I now have one lender offering zero down real estate Investment financing with just one loan.
The zero down real estate investment financing program requires excellent credit (700 middle credit score) and you will need to verify 6 months of PITI reserves available. It is a fully documented loan and is available for a single family, townhouse, or condo.
Please Note: Due to continuing heavy volumes of purchase and refinance business, all of my investor appropriate lenders have found it necessary to impose minimum loan amounts. Unfortunately, I will not be able to assist you if your loan amount is below $100,000. Please understand that this is not a minimum imposed by either Carteret Mortgage or my branch but by the lenders we work with. Hopefully, this situation will be resolved soon.
I have a page on how to calculate your qualification ratios.
I have a page on documentation requirements.
If your interest is in foreclosure property as a real estate investment, visit my foreclosure page for information and links to property resources.
If the building you are looking at contains 5 or more units, it will be considered a commercial property. We can still help you with your financing needs. As a commercial property, it will require a down payment.
Also, I offer an Investment Options Analysis free. It could confirm a deal makes sense or keep you out of a bad investment.
Read more about real estate investment property financing
Here are my thoughts on the difficulty of "flipping" investor properties.
If you need to maximize your cash flow, you may want to consider using one of the new interest only loans.
If you are looking at foreclosure property, I have a free report available by email.
New! I have added a page on how to properly compare different investment property that may be helpful to you
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As a Certified Mortgage Planning Specialist, I offer an analysis of your situation today can make suggestions on how small changes in how your debt is structured today can have a life changing effect in the years to come. Read more about this free, no obligation service.