100% Mortgage On Non-owner Occupied?
Is there any way to get a 100% mortgage on a non-owner occupied investment property? If so, can you give me some companies that offer this?
Is there any way to get a 100% mortgage on a non-owner occupied investment property? If so, can you give me some companies that offer this?
I have purchased three properties with 100% LTV. I have not found a lender that you can go through directly, you must go through a broker. The brokers have high fees and sometimes do not deliver, but it can be done and I have done it 3 times.
I am working with a new broker in FL and trying to purchase two properties worth about $344K. If she delivers then I will pass you her name.
Wes
wholden, on average, how much were the fees? Is it a certain percent?
In the past I have received 100% LTV NOO loans through a mortgage broker from Homecomings Financial. I have also received loans 80/20 from Countrywise, and World Savings.
I tend to use mortgage brokers, as it keeps options open for new programs, etc.
I have been speaking with Citi Mortgage Group out of Dallas. They will do a 100% NOO, Stated, with a 620 FICO at 7.875% with no PMI.
Sorry, but I must disagree. I am a broker and generally beat the same deal offered by the the lender if you go directly. And integrity, regretfully, can be lacking in all professions.
Also, there are 100% investment deals out there, although by the time you add in the additional fees, it is generally easier to have simply put down the 5% (not to mention that the dollar amount tends to be the same.)
Do you have a 401K/IRA with 39K?
The fees are higher than if going directly to the lender. Paying points is not a bad thing, run the numbers on your return with paying the points and without paying the points and getting a higher rate. You might find that it is worth it to pay them. Also most 100%LTV loans are a blend, 80/20 or 80/10/10. You have to pay closing costs for each note, therefore if it is funded as an 80/20 then you will pay closing costs for each note.
Broker fees are high and you have to negotiate them down. Brokers will tell you all day long that they do not get all of the fees but that is not your problem. The sole problem with brokers, they are another person in the middle, which creates more fees. But in the case of 100%LTV NOO, brokers are essentail. Just stay away from any broker with an email address of @eloansolution.com. Their fees start around 4,000, not including any closing costs.
Makes no difference if you go to a broker or lender. Just keep your cost in line.
Quote:
On 2005-02-17 23:44, roboxking wrote:
Makes no difference if you go to a broker or lender. Just keep your cost in line.
Like the old saying goes this is a people business. You need to find the right money person to work with. It does not matter where they work. All that matters is that they treat you right and get you the loans that you need.
Your score is good enough for 100% LTV NOO. I have not read a lenders requirements for these programs in about one year so my info is out of date. So I am going to post what I remember. But anything over 720 gets you the best programs, terms and rates. But the best programs often are very strict on other guidelines.
But they looked at more than the score a bad ding in the last 24 months and you could be out of luck.
Reserves were the guideline that killed a lot of people on these programs. The guidelines would often say 6 months of reserves. That means enough cash in the bank to make 6 months worth of payments. The higher your score the smaller the reserve requirement. But this would be decided on a case by case basis which made it a pain in the ..... Money in your 401K can be counted.
Number of properties owned the best programs severely limited how many properties you could own. I remember on that had a limit of 4. At the time they had the best rates but everything had to be perfect.
Property types some programs would lend on anything up to 4 units but for best terms it was SFH only.
So with your score, some reserves and working with the right person you should be able to get er done.
Please help a sistah out..who does the 100% just say it...!
Just because you may have had a bad experience with a broker does not mean we all have terrible integrity. That is very short sighted of you to even make that comment. Obvious that you know nothing of compliance issues. 100% IS Available, 660 min FICO scores, 1-4 unit only, need 6 months PITI. very simple loan to do.
There are a variety of different lenders out there that offer 100% NOO loans. Actually, there are niche programs for almost anything…people in foreclosure, people with low to no FICO score, no seasoning, no income, whatever.
Some are good, some are not. For example, you may be told you qualify for a 100% program, only to have their appraisal come in 10% low. Some lenders are known for this.
What a good broker can do for you is find the program that best fits your overall situation – taking everything into account. And good ones will have access to hundreds, or even thousands of programs.
They may also being getting a better deal from a lender than any other broker. Or, than what you could even do walking in the door. It depends on how strong of a buyer you are, and/or the relationships you have.
Keep in mind, you’re asking a lender to take a risk for a lot of money. So, you have to come to the party with something – cash down, good FICO, good credit history, good income, equity, assets… something! But the fewer of these you have, the more you’re going to pay. And if you don’t have at least one of them, odds are you won’t get a loan.
I would suggest going to the ‘Lenders’ link at the top of this page and start calling a few and talking to them. There’s several 100% NOO listed right here on this site. And they’re ready to tell you all about them.
Folks, I just deleted a few of your posts. Please keep in mind that there is a lenders tab here with lenders on it. If you are a broker, great. Do not post your phone number or tell someone to call or PM you. That is called advertising. Joel spends a lot of money maintaining this site and you need to take care not to try to take money out of his pocket. If you want to be a lender or broker on this board, contact Joel and I am sure he will work something out with you.
Thanks,
Shawn(OH)
Find a broker that will personally give you a 2nd to make the 100% LTV
Not only can you get 100% in an 80/20 scenario but you can also go stated!!!!!!!!!!
Laurie
[addsig]
JE_CA,
I just called Citi Mortgage and the person I spoke with said that they do NOT do 100% NOO. The maximum they do is 90% NOO. Could I be missing something?
I searched for the citimortgage website and called the 800 # off the site. Please let me know if I was speaking to the wrong people.
Thanks,
JS.
As a mortgage broker I can say that waht Skooter says can be true. When you have a property you want to purchase and the broker offers 100%, ask to see the closing costs for the 95% option as well as the 100%, it may make sense to do the 95%.
[addsig]
overall, brokers have to be cheaper, unless you get wholesale by financing multiple properties with the bank.
brokers use hundreds of diff banks and shop your loan for you, in return they add on a origination point ect.
Going direct, that guy that works for the bank is commision, or low salary, and adds a point to make his money too, but in this senario, u have only 1 bank, not many.
I work at u.s. bank and know some one who works at a broker.
Same thing with car insurance by the way.
Another note- if trouble arises and u use a broker with a no name lender twenty states away, things might get rough
There seems to be a bit of confusion on if, what, where and who! With a 100% N/O/O: this is what you can expect from my lender:
Criteria:
· Max loan amount $300K
· 1-2 unit (no triplex or quads)
· condo’s 1-4 stories
· Full Documentation, 2yr. W-2’s & 1mo. Pay-stub / Self employed, 2yr. 1040’s & YTD P&L
· Debt to income ratio, not to exceed 50%
Credit and Rates:
· Credit will place applicant in Tier 1 or Tier 2 to determine rates.
· Tier 1 is provided to those with a credit score at or above 720
· Tier 2 is provided to those with a credit score between 680-719
Rates:
30 Fixed
Tier 1 (720 FICO) Tier 2 (680 FICO)
Rate 30 Day Rate 30 Day
9.250% 100.003 9.500% 99.503
9.125% 99.813 9.375% 99.313
9.000% 99.625 9.250% 99.125
8.875% 99.438 9.125% 98.938
8.750% 99.188 9.000% 98.688
2/1 ARM
Tier 1 (720 FICO) Tier 2 (680 FICO)
Rate 30 Day Rate 30 Day
7.750% 99.500 8.125% 99.000
7.625% 99.375 8.000% 98.875
7.500% 99.250 7.875% 98.750
7.375% 99.125 7.750% 98.625
7.250% 99.000 7.625% 98.500
3/1 ARM
Tier 1 (720 FICO) Tier 2 (680 FICO)
Rate 30 Day Rate 30 Day
8.000% 99.500 8.375% 99.000
7.875% 99.375 8.250% 98.875
7.750% 99.250 8.125% 98.750
7.625% 99.125 8.000% 98.625
7.500% 99.000 7.875% 98.500
To figure out the cost of the rate, simple subtract the 30 day amount and from 100.00 and that will provide you with the cost to acquire the rate. Example: 3/1 arm at 7.5% will cost you 100.00 - 99.00= 1% of the loan amount or 1 point.
You might find these rates to be high or even offensive but please keep in mind the risk the lender is taking! Im my experiance, I have not found the typicle banks to carry any type of loan like this.....I believe from some of the posts that I have read, some people have been given incorrect information of the loan products that are provided by bank XYZ.
This loan product may NOT be for you, everything should make sence and fit in the box and if it does..Great.
Hope this helps.
David Collins
null
marnie . Do you mind telling us who are those 4 lenders?
What do these two acronyms mean?
MOO
YSP
What does "full documentation" consist of ? And what is stated/stated when referring to loans? Someone!
100% financing is available, go to Google,enter 100% financing non-owner occupied and you will get their names. I have called several, but caution, a good score is needed. As of 6-21, interest only 5/1 fixed is running 6 3/8-6.5%. Call them but do not give your SS#
100% NOO loans are available and can be accomplished with brokers with integrity who will answer all questions and concerns. I am a broker who has done 4 NOO 100% loans recently and my clients were well informed and grateful to be able to cash out with 100% of their equity. Please let me know if I can be of assistance.
NOO- Non owner occupied property
YSP- Yield Spread Premium
Quote:
On 2005-06-09 09:09, onidas wrote:
What do these two acronyms mean?
<BR>
<BR>MOO
<BR>YSP