Are you able to acquire your investment assets downpayment? Are lent loans a fair origin for a rental property down payment?
While most home loan applications don’t allow one use a lower fee, particular types of down payment financial support are allowed under specific applications.
To own conforming mortgage loans (Federal national mortgage association and Freddie Mac computer), family guarantee finance are acceptable present getting a downpayment. That is because a house guarantee financing are shielded by the a valuable asset — your house, vacation possessions or any other leasing.
Fannie Mae’s direction discover, „Lent funds shielded of the a secured asset is an acceptable supply of finance on downpayment, closing costs, and you may reserves, as the borrowed funds secure by a secured asset show an income from guarantee.“