Guest Rob B. Report post Posted February 21, 2005 Can a person get into a house just to use the equity for leveraging on other investments? I am looking to get a house I have lined up for a discount and I am not qualified, I have not the funds for it and I have not assets. I just want to buy the home and my other investments will pay for the mortgage by using the equity in the home as leveraging. Can a person get a 2nd on the house to pay for the down payment and then do a no season refi to get out of bad rates? Share this post Link to post Share on other sites
MichaelC 160 Report post Posted February 22, 2005 Rob, I'm not at all clear what it is you're trying to do. Could you break the strategy down a bit more and clarify it? Thanks. Share this post Link to post Share on other sites
Brian - L.V. 0 Report post Posted February 22, 2005 It sounds like you're asking if you can bascally finance the home at full market value (say $200k) and use the difference between that and your discounted price (say $160k) for the down payment. In this case, you're wondering if you can use that $40k for a down payment and have other investments cover the mortgage, correct? I'm not a mortage broker, but from what I understand you may be able to do something sorta like that. Depending on certain factors, in this example you'd only have to qualify for a 80% loan. You may or may not have to put down some money, depending on your deal, credit, etc. If you need money for the down payment, maybe you could try partnering with an investor. They give you the $$ for the down payment and in turn, you give them an equity split in the house, secured by a mortgage. That's what I'm thinking off the top of my head, if I understand your question, correctly. Share this post Link to post Share on other sites
mpine 0 Report post Posted March 2, 2005 Can a person get into a house just to use the equity for leveraging on other investments? I am looking to get a house I have lined up for a discount and I am not qualified, I have not the funds for it and I have not assets. I just want to buy the home and my other investments will pay for the mortgage by using the equity in the home as leveraging. Can a person get a 2nd on the house to pay for the down payment and then do a no season refi to get out of bad rates?<{POST_SNAPBACK}> Rob, What LTV are you looking for? is any work needed on the property? Maybe hard money is a solution for you. I have plenty of sources for such funds and can then do a 80% no seasoning cashout refi on investment properties. Mike Share this post Link to post Share on other sites
