Buyers, Realtors, & Investors Are Getting Really Creative!

The changing Real Estate and Mortgage industry has caused major spikes in Home Purchase and Mortgage Loan sales. This can be seen throughout the states. Some predict this could be the worst in the history of Real Estate here in US. However, this has not stopped many Buyers, Real Estate Pros, and Investors from collaborating to realize progress in the Field.
There are many instances where a buyer cannot qualify for a Mortgage Loan today that just a few months ago qualifying would not have been a problem. The creative pros have decided to go a different route,a new strategy, a plan B in the matter of obtaining financing. Committed buyers and Realtors, who look to defy the continuous restructuring guidelines of Mortgage Lender, have began to reach out to Private Investors for resources to accomplish the goal of home ownership.
Many Realtor Agents working with committed buyers continue to search for the right property for their buyers with full knowledge of their clients failing to qualify for financing with traditional lending sources. The reason why is simple,Private Investors! Private Investors are stepping in to save the transaction.
Some Investors are buying the properties that the prospective buyer settles and commits to owning and are simply doing the financing themselves.
Creative Investors with not so deep pockets but great profiles are obtaining loans with a commercial residential lender. They then buy the specific property under an Investment property lender program and lease the property back to the non qualifying buyers. The buyer gets the desired property and works until he can establish a profile that will prove worthy of the kind of financing desired. Once this is accomplished he then buys the property from the Investor.
Many of the borrower are in search of 100% Financing which has become much harder to obtain with respect to the conditions of Mortgage Lending Today. In several instances, borrowers qualify for some sort of Financing be it, 70%, 80% or 90% of total purchase price. The problem is that, that small percentage needed to complete 100% is just to big of a gap at the time of purchase.
Many might argue that if a buyer cannot meet the commercial residential lenders guidelines for 100% financing, he cannot afford the property. One might agree with this assessment but the truth is, Man on a whole has a need to own a home and there is always a way to do and get what one wants and needs to make life for that individual better.
High risk Investing for some but no more of a risk then any investment with a high rate of return. Keep the industry moving forward. Creativity and Invention backed by Investors is the American way.

C. Rucker