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Steven J.
  • Urbana, IL
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Do I inform the bank of seller carry back?

Steven J.
  • Urbana, IL
Posted Dec 10 2013, 19:37

Do you tell your lender that you plan on having the seller carry back on deal?

For example, I want to get into a property with a conventional investor loan. I need 25% down, and the loan covers 75%. If I have the seller carry 25% do I need to include the bank in on this part of the lending? Of course the bank will want proof of funds for that 25% down, which I don't have, so do I then tell them about the seller carry back?

Thanks!

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