02-14-2013 05:56 AM
Some loans allow you to do this, as long as the loan to value ratio stays within the established limits for your loan. Another option is to make a purchase offer and ask that the seller pays closing costs, which accomplishes the same thing. But again the loan to value ratio will still be the limiting factor.
02-15-2013 02:50 AM
A great option in this case would be to ask for a seller's concession..this would allow you to finance the costs but the house would have to appraise for the purchase price with the seller's concession included (for example $515,000 purchase price with a 15,000 seller's concession would leave the seller with $500,000) but the house has to appraise for $515,000 for the bank to allow this.
Another option woud be taking a slightly higher interest rate which would result in a lender credit back to you to use toward closing costs. This is along the same line of the above but instead of financing more $, you are financing the costs in the interest rate. If you were to stay in the house long-term, you are better off with the seller's concession and the lower rate if this is an option.
04-02-2013 10:55 AM
yes. that is called a sellers concession. the costs can be added to the loan as long as the appraisal value on the house reaches the total loan amount on the house.
06-29-2013 11:15 AM
As long as you have some skin in the game (10% down) that should be fine. The banks don't want people with no money grabbing mortgages like they used to. The sellers concession is a great idea as well but be prepared for a bidding war. Usually the seller will want to pay half, 3/4's and so on for closing costs. But as I said as long as you have some skin in the game, this should be a no-brainer.