Ten Ways Of Financing Real Estate

Written by Steve Gillman


Do you remember when real estate financing meant you saved up enough to put 20% down on a house, and then you got a mortgage loan forrepparttar other 80%? Well, you can still do that, but there are many more options now. Here are ten of them.

1. Gifting programs. In some parts ofrepparttar 147055 country, builders fund foundations that give you a portion ofrepparttar 147056 downpayment, so you can get into a home with as little as 3% downpayment from your own pocket. FHA and other lenders have so far approved of or allowed this.

2. No-doc loans. These and "low-doc" loans, meaning no or low documentation requirements, are back, and you can find them through online banks. These are for those of you with bad credit but 20% to 30% to put down on a home. You don't even have to have a job.

3. FHA loans. The Farm Home Administration doesn't actually loanrepparttar 147057 money, but guarantees your loan forrepparttar 147058 bank, so they can loan up to 97% ofrepparttar 147059 purchase price, depending onrepparttar 147060 particular FHA program.

4. VA loans. If you have been inrepparttar 147061 armed services, have a decent job, and can save two or three paychecks, you can probably get a home with a VA loan. 5. Land contract. Also called "contract for sale" and other names depending onrepparttar 147062 part ofrepparttar 147063 country you are in, this just means that you make payments torepparttar 147064 seller instead of a bank. It's up to you and them to negotiate downpayment amount, interest rate, andrepparttar 147065 term ofrepparttar 147066 loan.

How To Turn Disadvantages Of A Reverse Mortgage To Your Advantage

Written by Keith Choy


When it comes to a reverse mortgage, wise consumers weighrepparttar advantages and disadvantages prior to signing onrepparttar 147019 dotted line.

Letís start on a positive note, you could do what most borrowers do and opt forrepparttar 147020 reverse mortgage line of credit. Just think about how you would then be able to draw onrepparttar 147021 loan whenever money is required for daily living expenses, medical bills, prescription costs, home repairs, etc. This could really enhance your retirement years including in-home care expenses in later years.

Furthermore, your new found income does not affect regular Social Security payments or Medicare benefits. And lenders cannot foreclose onrepparttar 147022 loan forrepparttar 147023 life ofrepparttar 147024 borrower.

Okay, thatís all well and good but how do you turnrepparttar 147025 major disadvantages of a reverse mortgage into a positive one? Itís all inrepparttar 147026 perspective. For every negative there is a positive to obtaining this loan.

Itís true a reverse mortgage loan may affect your eligibility for state and federal government assistance programs such as Medicaid but it also gives you an important financial cushion and does not (as mentioned above) affect your regular Social Security payments or Medicare benefits.

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