Using OPM to Purchase a Home

[Jared Jackson]

I’ve got the opportunity to use OPM to buy a house in cash, so how exactly do I purchase the house? Do the lenders purchase it under their name or do they write a check to me so that I can purchase it under my name? I feel like if they write me a check then there will be tax implications. It’s my first time using OPM and any advice would be greatly appreciated.

[Andrew Garcia]

Hi @Jared Jackson, if they are lending it to you, they will wire the money to a title or escrow company and they will purchase the house and record the deed in your name. Then, they will record a note against the property so they can reclaim the property if you default.