Lender help

[Ace Saxon]

I have found a deal that the owner is willing to carry back 20%, has anyone done this kind of deal? All of the lenders I have talked to say they won't do that and never heard it being done. I have 10% as well so the lender is only financing 70, I thought they would be more willing. Any advice would be helpful as I am extremely new to RE investing.

[Karen Margrave]

The seller is willing to carry 20% and you have 10%, the question is, what is the security that the seller wants? If the seller is willing to go in 2nd position, you should be able to find a lender willing to do the loan. However; the property has to appraise for the amount you're buying it for or higher. Lenders are looking for security for their loan and want as little risk as possible, if your deal fits their criteria, they'll make the loan. If they won't, ask them what you'd need for them to finance it, and find out what the obstacles are.