Using gold as collateral to get a mortgage

3 Replies

I've just started looking into buying a duplex. One side for myself and the other for a tenant. I am self employed so it's harder to get a mortgage. I have no other assets except for gold - my money is made through trading currencies so I have no business to put up for collateral. 

What are the odds I could negotiate a mortgage with a lender with terms that might look something like 30% cash down and then offering 25-50% of collateral for the loan amount? My credit is very good - 782.

Just looking for some opinions or things to consider that might make this work. I'm new to this, so maybe this is an absurd idea, but I'm looking for options other than paying for the duplex in full up front.

Originally posted by @Nick Strauss :

I've just started looking into buying a duplex. One side for myself and the other for a tenant. I am self employed so it's harder to get a mortgage. I have no other assets except for gold - my money is made through trading currencies so I have no business to put up for collateral. 

What are the odds I could negotiate a mortgage with a lender with terms that might look something like 30% cash down and then offering 25-50% of collateral for the loan amount? My credit is very good - 782.

Just looking for some opinions or things to consider that might make this work. I'm new to this, so maybe this is an absurd idea, but I'm looking for options other than paying for the duplex in full up front.

 If you are Jesus and walk on water, the "private client" channel at your favorite big bank (or commercial bank) that you put most of your business through would be the right way to scratch this itch.

If you're not particularly loyal, spread your business around, and chase the lowest fees possible, then this is probably only doable via a hard money loan.

@Chris Mason

Unfortunately, hard money won't lend on personal residences. But if you don't live in it, then no problem. 

@Nick Strauss , unfortunately, your ability to live an independent lifestyle and obtain a mortgage you can obviously afford was eliminated by the people who know what's best for everyone - so they enacted the Dodd Frank act and created the CFPB to ensure that only people deemed qualified by themselves can have access to money to purchase a personal residence.  These laws and agency rules do not allow you and I to reach mutually agreeable terms on a home loan.  

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