Seller Financing
I think I have a no money down deal with an 80% mortgage and the seller financing the other 20%.
I have only gotten mortgages for my home and my first investment property, and both times they wanted to source my downpayment.
Should I let my lender know about the seller financing?
Do I put up the 20% in cash and then get it back after the financing?
I don't know how to go about this, can anyone please help?
When you purchase a propery using a lender they are required by law to complete a HUD-1 basically showing the trasnaction of the buyer and seller. It would need to show where money is coming from and where it is going. If you plan to use seller financing this will need to be disclosed to the lender. Some may have a problem with it but a good mortgage broker should be able to put this together for you.