Updated almost 7 years ago on . Most recent reply
Closing above the purchase price?
We have an opportunity to buy a good deal and a seller who's willing to work with us on a complex closing. The summary is we can purchase it for 85k but tell the bank we close at 110k so the seller who's a friend can hand us back $25k cash after closing which will cover the rehab costs.
Obviously this is a tad shady and I know the podcast covered something of this nature a few weeks ago. I know we are scratching the surface of a good idea but does anyone know of a safe, legal way to do this so the $25k shows up on the HUD form and comes back to us at closing?
The house should appraise 110k easy. Any ideas/suggestions or things to look into would be greatly appreciated.
Most Popular Reply
Otherwise known as “mortgage fraud” which is a felony in all 50 states.
Get the thought of lying to any lender about anything out of your head right now.
Good luck dude.