Low cash out of pocket loans are not impossible!

Ok Folks, it's been a while with the holidays and all but in truth, I have been a little busy. Our area of the state has been reported by Real Estate Brokers as having a 6% increase in sales over 2006! Wow, huh?

So I want all of you to know a very common way us lenders get you or your customer to the table with very little cash out of pocket.

Interest rate and closing costs/ pre paids are like a scale. You can pay your closing costs/ pre paids yourself and have a lower interest rate. OR You can have your lender finance a large portion of your closing costs/ pre paids and pay a slightly higher rate.

Speaking mainly of FHA, IF you can get a gift or a seller contribution for the down payment and afford the slightly higher rate by financing closing costs, you can have a home for around $1500 out of your pocket.

That $1500 includes your appraisal, first years homeowners insurance, and your ernest money deposit on the home.

I stress to you, these numbers are not exact nor meant to be etched in stone. However, it is possible and likely you can get a loan like this or very similar.