Question on Seller Financed Down Payment

[Jamie O'Connell]

Been researching the multiple ways of getting funded and wondered if anyone had any input on Seller Financed Down Payment and what should be known in regards to it.

Is it possible to get a DSCR loan and the seller finance the down payment?

Would most DSCR lenders even allow that?

Say purchase price of $100,000

Seller financed $20,000 down payment

DSCR financed $80,000 loan.

I pay closing cost?

Dont have anything in line for this its just something I saw and was unclear on. 

Thank you!

[Stephanie P.]

@Jamie O'Connell

Here's a succinct and rare, definitive statement on DSCR lending:

There are no DSCR lenders on the market today that will allow the seller to finance the down payment.

The highest combined loan to value (CLTV) that I know of is 90%. The lender will go to 75%, the seller can hold a 2nd to 90% and the buyer has to come to the table with the remaining 10%. Other than that, most cap the CLTV at 80%.

Hope that helps

Stephanie