If you are one of the few qualified borrowers that plan on buying an owner-occupied home that so happens to have a long job history with documented W-2 income,lots of assets(other than real estate,which is taboo these days) and a perfect credit score ....don't read this. For all others read on...
Would you come to me for a loan if I demanded all of the following;
1) Since you are an investor, I want you to put down 20% + in traceable"seasoned" cash from your bank account
2) My rate and terms,take it or leave it
3) You have to use my "low opinion of value"(appraisal)
4) I will lend to you only personally,so if something goes wrong, I can ruin your credit,seize your funds,take the house,garnish your pay,levy your bank account and go after everything you own
5) Give me 4-12 weeks to make a decision,but keep in mind I may say OK but I reserve the right to change my mind at the last second
6) I want you to sign about 50+ pages of documents, none of which you have any say
Sounds HARSH !!! but people regularly routinely agree to the above, when they borrow from a bank !!!
Never mind that in a declining market,all of the increased delays adds market risk to you....remember alot of times you have to deal with this,over again with your buyer when you are selling.
It's much safer, and more profitable to learn how to buy and sell without the banks.
Learn these techniques, and become more prosperous.
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