Distressed properties not so stressful to us!

We did it again!   After being turned down by another lender because the house he wanted to purchase wouldn’t pass the appraisal process, we helped Mr J to get financing to purchase the home.   Here’s how it went:  he found a great house for only $75,000.  That’s right!  A single family home that had needed some work.   The appraisal came in at $78,000 so he was able to finance $3000 in repairs.   The types of repairs on this house were:  fix a section of the roof that was leaking, deal with a damp basement issue (sump pump & ventilation) and take care of some much needed painting.   The type of loan we used was Rural Development.  Our borrower negotiated for the seller to pay closing costs.  He gave an upfront deposti fo $100,  paid a $400 appraisal fee and ended up receiving all $500 back at closing — making his total cash investment into the purchase was zero!!      His monthly payment — including tax & insurance is just $705/month!!!    These are the kinds of transactions I love to do!

Share This: