How to Utilize a High Down Payment and Good Credit to Leverage for First Purchase?

Question

Hey!

I'm looking to get into my first deal in the next few coming weeks.

I've managed to build up a good chunk of cash to use in my first property purchase, and I am having a lot of trouble utilizing that cash as leverage to gain the required funds necessary to purchase the first property.

The property itself is a piece of raw land with a well and septic, the entire deal is going to be just about 100k, and I have 40k ready to go now. Land is in Maine!

I have looked at a variety of online financing options, SoFi etc, and have only been able to get approved for a personal loan of 25k, putting me just about at 65k, still too short.

I just want to know if there are any other kind of loans or programs available that would maybe be able to fill my financing gap?

I would try a standard route, but I have an odd employment history for anything conventional.

Thanks for any thoughts or insights, looking forward to getting my first deal!

Ernesto Garcia · Answer

Vincent,

We should be able to do a 50% LTV bridge loan on the purchase of this property. Extremely low doc, just need 720+ FICO, POF, and a deal.

Chris Davidson · Answer

@Vincent Anthony bratt with it being raw land and you on the creative RE financing forum, I would see if the seller would be open to carrying the note with a balloon ideally a few years after you have it stablized.

Land is a trickier one to get financed, and if there are low improvements good chance the seller doesn't have a loan on it, and might be open to carrying it for the price he is looking for.

Cheers!

Vincent Anthony bratt · Answer

Sweet, I think I should have all of that, I'll message you.