80/20 Piggyback Loan in Texas

[Marci Mayes]

Are there any lenders in Texas that would issue a 80% LTV first mortgage and allow the seller to take back a 20% LTV second mortgage? If not, what about 80/15/5 or 80/10/10? Would the SFR need to be owner occupied or are there are lenders who will do piggyback loans on non-owner occupied properties?

[Andrew Postell]

@Marci Mayes no, this is completely not possible in any state for investment properties. Now, if you are using the BRRRR method (I hope you know what that is) then you could buy a property, in theory, with $0 out of pocket. And that's why the BRRRR method is so effective. We target off market properties in need of repairs to limit our out of pocket cash. Hope all of this makes sense.