I have a friend who is pre-qualified up to $150,000 to buy his first home. He's bid on 4 properties so far and each time the seller went with a cash buyer.
Are there any lenders who offer bridge financing for this type of scenario? He'd like to come to the table with an all cash offer, and will provide a lender with all the documentation and a first position until he can refinance with the bank.
If he would pay five grand for the privilege, try the REIA nearest you for private lender to pay all cash and then sell to your friend
Chances are he's not using a buyers agent, if he were, a good buyers agent would handle that objection any day of the week
He's willing to pay a couple points...
How would a good buyer's agent handle that objection?
There's always hard money loans as well, but the rate is going to be higher. I've personally seens rates in the 7% range but I know there's some out there around 10-12%. That'd be a good short term solution until he can refinance with a commercial or FHA loan.
@Robert Reardon Has your friend looked into getting a fully approved mortgage loan? In this scenario, he would go through the full underwriting process with the property address as TBD. Once he is approved, the only contingency is that the property appraises at or above the loan LTV requirements. This is as good as cash, because the seller know that he is already approved.
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