Some loan office told me to take a loan and it's at 200K. I found a house at 100K and is just planning to buy that. It's a 2 rooms and 1 bathroom house. With the other 100K, I'm going to invest it and collect on the interest. Is it possible of me to do that? O also, I want the other 100K because like my mom and dad, they didn't have any money at all in the bank or what so to pay their house so they had to sell it. Now if I had that extra 100K invest, I'm going to get at least a bit of % back right. Also if inflation happens, I can be able to use the other 100K to pay off the mortgage
Anyways, can anyone tell me about this? New to the game.
9$ an hour and is getting about 30 hours a week.
Girl make about 9$ an hour also and about 30 hours a week also. Can we make it and is that loan possible or do I have to get a 200K house? Thanks for the help guys.
2007-02-08 15:43:36 · 6 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
The bank is not going to loan you any more $$$ than the house is worth. If it's only worth $100k that's is all they are going to lend you. Further, if you are trying to calculate if you can afford it, you need to ask the Loan Officer what the payments are going to be, which is based on the Loan Amount, the term of the mortgage (# of yrs) and the interest rate, you will also have to pay Homeowner Insurance and Property Taxes (every year). Also, what if something breaks ---- plumbing, electricity????? There are other expenses to consider before you make such a big move. Borrowering money to cover these expenses is not the answer, it is only going to create a bigger problem for you down the road. There are some sneaky Loan Officers out there who are only interested in $$$ in therr pockets and do not care about your best interest. Be careful and do your research first.
2007-02-08 15:57:28 · answer #1 · answered by babeebluez73 3 · 0⤊ 0⤋
You were qualified to borrow up to $200k If you buy a house for $100k the bank will only lend you $100k. banks will only lend on the value of the home.
Or If you own a house with equity and can get access to $200k and want to buy a second house for $100k and invest the rest of the money be care-full. Think about it if the bank charges you 7% and you get 8% you make 1% but pay taxes and may not make any money at all.
Also if the loan office gets paid for lending you money the more they lend the more they make. I don't recommend taking out more than you need to buy your income property - Read a few books first.
2007-02-08 16:21:45 · answer #2 · answered by renzbenton 3 · 0⤊ 0⤋
Your loan officer was probably a newbie that like most real estate agents was trying to buy your confidence. No loan will exceed the purchase price or appraisal value which ever is lowest. Some lines of credit will go to 125% Loan to Value but are difficult to obtain at the time of initial purchase. There are a few loans that will allow repairs above and beyond the home price but the appraisal has to reflect the rehabbed end value. Those are not recommended for first time buyers. Find a decent house you can afford and live in it for several years. Real estate is not a day traders game anymore.
2007-02-11 18:56:05 · answer #3 · answered by Kevin H 4 · 0⤊ 0⤋
I really don't thinks its possible because I am currently buying a house now and the lender won't give me a loan for anything more than what the appraisal comes in for.
2007-02-08 15:53:16 · answer #4 · answered by Bignuts808 2 · 0⤊ 0⤋
What the lender probably said was that you qualified for up to 200k.
2007-02-08 17:20:32 · answer #5 · answered by zeezrom8 2 · 0⤊ 0⤋
Remember -- "if it sounds to good to be true it probably isn't". Please think this through. It sounds like a scam. Don't do it.
2007-02-08 15:56:55 · answer #6 · answered by Don R 5 · 0⤊ 0⤋