Are you able to borrow your investment property advance payment? Are lent finance a fair origin for accommodations possessions off payment?
While most home loan apps don’t allow you to definitely borrow a straight down percentage, certain types of advance payment money are allowed under specific applications.
To have compliant mortgage loans (Federal national mortgage association and you may Freddie Mac computer), house guarantee loans was appropriate offer for a deposit. That is because property collateral mortgage try secure by a secured item — your home, vacation possessions or other local rental.
Fannie Mae’s direction understand, “Borrowed money shielded by a secured asset try an acceptable source of financing to your advance payment, settlement costs, and you will supplies, since the borrowed finance secure of the a secured asset depict money of equity.”