Have a buyer who hasn`t a downpayment

[Lucas]

Hi all,

I have a house. I have a buyer. I want to sell my house to this buyer. The buyer does not have enough for a downpayment on the house but has been pre-approved by a mortgage broker and qualifies to purchase my house. The buyer has exhausted all possible avenues/sources looking for a downpayment (ie. family, friends). The house is priced at 320k and they qualify for this mortgage with a 5% downpayment...so the magic number is 16k.

Aside from financing the down-payment (which I think is illegal anyway) is there any way to still sell this property to the buyer? I would prefer a conventional purchase as I need to untie this property to get into another.

Any suggestions would be much appreciated...

Thanks in advance!!!

Lucas

 

[wealthyboomer]

Apparently, Nestbuilders Charity gives a gift of 5% downpayment for mortgage:
http://www.nestbuilders.ca/welcome.php

 

[kanabel]

QUOTE (wealthyboomer @ Oct 28 2008, 11:34 PM) Apparently, Nestbuilders Charity gives a gift of 5% downpayment for mortgage:
http://www.nestbuilders.ca/welcome.php

Yep, I sold my condo that way, and even without realtor.
Dejan

 

[samwei]

QUOTE (Lucas @ Oct 28 2008, 09:55 PM) Hi all,

I have a house. I have a buyer. I want to sell my house to this buyer. The buyer does not have enough for a downpayment on the house but has been pre-approved by a mortgage broker and qualifies to purchase my house. The buyer has exhausted all possible avenues/sources looking for a downpayment (ie. family, friends). The house is priced at 320k and they qualify for this mortgage with a 5% downpayment...so the magic number is 16k.

Aside from financing the down-payment (which I think is illegal anyway) is there any way to still sell this property to the buyer? I would prefer a conventional purchase as I need to untie this property to get into another.

Any suggestions would be much appreciated...

Thanks in advance!!!

Lucas

I believe that a buyer can still purchase a home without a down payment..some banks will allow you to do this..the buyer has to take a 6 year mortgage term, at full posted rate (no discount). The bank then allows a rebate for the down payment on closing.

See a mortgage broker about this option.

 

[Thomas Beyer]

QUOTE (Lucas @ Oct 28 2008, 10:55 PM) Hi all,

I have a house. I have a buyer. I want to sell my house to this buyer. The buyer does not have enough for a downpayment on the house but has been pre-approved by a mortgage broker and qualifies to purchase my house. The buyer has exhausted all possible avenues/sources looking for a downpayment (ie. family, friends). The house is priced at 320k and they qualify for this mortgage with a 5% downpayment...so the magic number is 16k.

Aside from financing the down-payment (which I think is illegal anyway) is there any way to still sell this property to the buyer? I would prefer a conventional purchase as I need to untie this property to get into another.

Any suggestions would be much appreciated...

Thanks in advance!!!

Lucas

gift him the 16K .. risk is he keeps the cash if he doesn;t close

any buyer must have 5% down these days to get a mortgage !!!

 

[SamEfford]

I received an email from a broker with Mortgage Intelligence stating that there is still a lender that will give a mortgage on an owner-occupied home a 0 down mortgage. I am not sure what the qualificaitions were, but it would be worth a shot.

 

[jeremyfleming]

Hi Lucas, I would imagine someone has emailed you about this by now.... but in case they have not - I currently am using a couple of lenders who are offering either borrowed down payment mortgages, or cash back mortgages, essentially accomplishing 100% financing. This is all above board - no grey area here!

Look to FirstLine or First National for these products.

If you still are looking for 100% financing, you can call me at my office: 1.877.545.1554.

Cheers,
Jeremy Fleming
Professional Real Estate Investor
& Mortgage Planner
BLT - Pleasant Valley Mortgages

Investing Exclusively in Grande Prairie, Alberta


QUOTE (Lucas @ Oct 28 2008, 09:55 PM) Hi all,

I have a house. I have a buyer. I want to sell my house to this buyer. The buyer does not have enough for a downpayment on the house but has been pre-approved by a mortgage broker and qualifies to purchase my house. The buyer has exhausted all possible avenues/sources looking for a downpayment (ie. family, friends). The house is priced at 320k and they qualify for this mortgage with a 5% downpayment...so the magic number is 16k.

Aside from financing the down-payment (which I think is illegal anyway) is there any way to still sell this property to the buyer? I would prefer a conventional purchase as I need to untie this property to get into another.

Any suggestions would be much appreciated...

Thanks in advance!!!

Lucas

 

[Lucas]

Thanks everybody and experct a call tomorrow Jeremy!!!
Lucas


QUOTE (jeremyfleming @ Oct 30 2008, 05:16 PM) Hi Lucas,
I would imagine someone has emailed you about this by now.... but in case they have not - I currently am using a couple of lenders who are offering either borrowed down payment mortgages, or cash back mortgages, essentially accomplishing 100% financing. This is all above board - no grey area here!

Look to FirstLine or First National for these products.

If you still are looking for 100% financing, you can call me at my office: 1.877.545.1554.

Cheers,
Jeremy Fleming
Professional Real Estate Investor
& Mortgage Planner
BLT - Pleasant Valley Mortgages

Investing Exclusively in Grande Prairie, Alberta