If you are lucky enough to have a large sum of cash set aside to buy your next real estate property outright, then congratulations! But for the rest of us, we’ll need to finance our next home purchase with a mortgage or some other type of creative financing.
Then be able to pay it all back over a 1, 5, 10 or a 30 year period.
Shopping around and applying for financing that has good terms can be a real pain. Below we’re going to review the top 3 financing options that exist for residential real estate (i.e., condo, townhome, house, 2-4 unit multiplex.)
If you have not already, review my other guide regarding: How To Get Qualified and Approved For A New Mortgage Home Loan
Most of the below options can you assist you in
Downfall of Putting Less Than 20% Down
Any down payment that is lower than 20% will require Private Mortgage Insurance (PMI), which means you’ll have a higher monthly payment. Here’s more information on what exactly PMI is: What Is Private Mortgage Insurance?
There might be a way to use a second mortgage to finance part of the down payment eliminating … READ MORE