Lower Down Payment %

[Brett Davis]

Any lenders out there know if there is a way to purchase (buy/hold) a residential (quadplex or smaller) investment property with less than 20% down? I am looking to purchase out of state so I cannot make it my primary residence but would like to know if there are any loopholes or other strategies to get the down payment lower? Thanks in advance!

[Landon Bleau]

Brett, if you're able to find a lender that will lend based on appraisal price as opposed to purchase price, you could get the deal for less than 20% down, assuming you found a great deal. It surely will not be easy to find lenders like this, however, I have heard of people finding them.  Then, for example, if you can find a $100k property and get it under contract for $90k, you could get into the deal with only 10% down.