2.25% Interest Rate - Assumable Mortgage, down payment gap over $200k

Creative Real Estate Financing
1yFollow

2.25% Interest Rate - Assumable Mortgage, down payment gap over $200k

Brooke Carlton
Realtor · Phoenix · Member since 2018 · 6 posts · 1 vote

I have a property listed for sale in Goodyear, AZ and it carries a 2.25% interest rate. The payment is about $1320 per month. The home was built in 2006, great neighborhood, close to the highways, close to everything new that is being built, close to a military base. The issue is the down payment is over $250k and no one has that or is willing to fork over that amount. Does anyone know of an affordable second loan to help with the down payment? Any other suggestions?

1Reply
23 views

Most Popular Reply

Chris SeveneyBusiness Member
Moderator
Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
1y
Quote from @Ken M.:
Quote from @Jeffrey Robison:

Are you still stuck here? I may have a solution if you are.

.
I'm interested.

I have a contract on a house in Phoenix AZ with a value of $500,000
and a mortgage of $288,000 to be taken subto.
Seller wants $160,000 cash out which leaves $50,000 in equity for the buyer.
I had a taker from CA but he couldn't come up with the cash.

I was not aware of anyone that understands that kind of deal.

 I would be inteerested in learning more about this

7e investments53 Reviews
WebsiteView Page
1Reply
See this reply in the discussion

13 Replies

Jump to latestLatest
  • Jeffrey Robison
    Lender · Tyler, TX · Member since 2016 · 49 posts · 23 votes
    1y

    Are you still stuck here? I may have a solution if you are.

    0Reply
  • Ken M.
    Investor · Get yourself trained before doing something inadvisable. · Member since 2024 · 3k+ posts · 1k+ votes
    1y
    Quote from @Jeffrey Robison:

    Are you still stuck here? I may have a solution if you are.

    .
    I'm interested.

    I have a contract on a house in Phoenix AZ with a value of $500,000
    and a mortgage of $288,000 to be taken subto.
    Seller wants $160,000 cash out which leaves $50,000 in equity for the buyer.
    I had a taker from CA but he couldn't come up with the cash.

    I was not aware of anyone that understands that kind of deal.
    0Reply
  • Chris SeveneyBusiness Member
    Moderator
    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    1y
    Quote from @Ken M.:
    Quote from @Jeffrey Robison:

    Are you still stuck here? I may have a solution if you are.

    .
    I'm interested.

    I have a contract on a house in Phoenix AZ with a value of $500,000
    and a mortgage of $288,000 to be taken subto.
    Seller wants $160,000 cash out which leaves $50,000 in equity for the buyer.
    I had a taker from CA but he couldn't come up with the cash.

    I was not aware of anyone that understands that kind of deal.

     I would be inteerested in learning more about this

    7e investments53 Reviews
    WebsiteView Page
    1Reply
  • Ken M.
    Investor · Get yourself trained before doing something inadvisable. · Member since 2024 · 3k+ posts · 1k+ votes
    1y
    Quote from @Chris Seveney:
    Quote from @Ken M.:
    Quote from @Jeffrey Robison:

    Are you still stuck here? I may have a solution if you are.

    .
    I'm interested.

    I have a contract on a house in Phoenix AZ with a value of $500,000
    and a mortgage of $288,000 to be taken subto.
    Seller wants $160,000 cash out which leaves $50,000 in equity for the buyer.
    I had a taker from CA but he couldn't come up with the cash.

    I was not aware of anyone that understands that kind of deal.

     I would be inteerested in learning more about this

    I have two but one is better than the other. I'll DM you.
    0Reply
  • Brooke Carlton
    OP
    Realtor · Phoenix · Member since 2018 · 6 posts · 1 vote
    1y
    Quote from @Jeffrey Robison:

    Are you still stuck here? I may have a solution if you are.

    Yes. We’re off market right now but will be going back on next month. Gap is now closer to $205k
    0Reply
    • Jeffrey Robison
      Lender · Tyler, TX · Member since 2016 · 49 posts · 23 votes
      1y

      @Brooke Carlton did you speak with the current lender about their willingness to finance some of that gap for a potential buyer? 

      0Reply
  • Jeffrey Robison
    Lender · Tyler, TX · Member since 2016 · 49 posts · 23 votes
    1y

    Hi Ken! Is the loan assumable? 

    0Reply
  • Ken M.
    Investor · Get yourself trained before doing something inadvisable. · Member since 2024 · 3k+ posts · 1k+ votes
    1y
    Quote from @Jeffrey Robison:

    Hi Ken! Is the loan assumable? 

    It's a VA loan, so long as someone can meet the requirements.
    I have it as a subject to, subto, so it can be done with creative financing too.
    0Reply
    • Jeffrey Robison
      Lender · Tyler, TX · Member since 2016 · 49 posts · 23 votes
      1y

      @Ken M. Well that's good news! One of my wholesale lenders used to be willing to finance these, I can't remember the CLTV requirement of the top. I'm going to reach out to my contact over there on Monday and see if that's something they still do.

      0Reply
  • Ken M.
    Investor · Get yourself trained before doing something inadvisable. · Member since 2024 · 3k+ posts · 1k+ votes
    1y
    Quote from @Jeffrey Robison:

    @Ken M. Well that's good news! One of my wholesale lenders used to be willing to finance these, I can't remember the CLTV requirement of the top. I'm going to reach out to my contact over there on Monday and see if that's something they still do.

    The underlying note is 2.71%
    0Reply
    • Jeffrey Robison
      Lender · Tyler, TX · Member since 2016 · 49 posts · 23 votes
      1y

      @Ken M. Yea they would keep that in place and you'd get a second position mortgage for the rest at, well, higher than todays rates. I think they used to go up to like 80-85% CLTV depending on credit score. Still might give you a better shot than someone needing to show up with all cash.

      0Reply
  • Ken M.
    Investor · Get yourself trained before doing something inadvisable. · Member since 2024 · 3k+ posts · 1k+ votes
    1y
    Quote from @Jeffrey Robison:

    @Ken M. Yea they would keep that in place and you'd get a second position mortgage for the rest at, well, higher than todays rates. I think they used to go up to like 80-85% CLTV depending on credit score. Still might give you a better shot than someone needing to show up with all cash.

    Understood
    0Reply
  • Jeffrey Robison
    Lender · Tyler, TX · Member since 2016 · 49 posts · 23 votes
    1y

    @Ken M.@Brooke Carlton I found a potential solution to this problem! I'll reach out tomorrow when I hear back for sure. 

    1Reply
Join the conversationCreate a free account to reply, vote on answers and follow this thread.
Log InJoin for Free