Creative financing in Ontario?

[Andy Welmers]

Has anyone used creative financing successfully in Ontario? I met with a mortgage agent to discuss options they had available. I was thinking of proposing seller financing on a couple of investment properties in the areas. (specifically small multifamily properties, currently being sold, so from investor to investor). The only reason I would be looking at 'creative financing' would be to reduce the down payment below 20%. If this were not the case, I would be looking at traditional financing.

I guess I could look at seller financing for the entire mortgage, or at lease option to get into the property to begin with. However from the sounds of the mortgage agent, mixing seller finance with traditional mortgages (less than 20% down payment) would be very difficult to pull off.

Any input would be great.

Andy

[Roy N.]

@Ashley Cann

Withdrawing capital from your primary residence (via  HELoC) to use as a down payment on an investment property is permitted and the practice accepted by most lenders.

Pulling money from your personal/business LoC, credit card, or some other unsecured source for your downpayment is not permitted.