Creative Gift of Equity Financing | Bank of Mom & Dad
By Nicole Rueth - August 13, 2019
Have deals with multiple offers? Here's a story you don't want to miss!
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Did you know the Bank of Mom and Dad is the 7th largest bank in the United States? It even has it's own acronym. I want to pair that factoid with the concept of a Gift of Equity.
Here's a quick story... we just had a young couple using a gift for their down payment from mom and dad. They also had a desire to live in a super hot neighborhood. We all know that real estate is hyper local... and the house they fell in love with happened to have 6 offers. They were not going to get it.
My team got super creative. We changed the deal to where mom and dad bought the home with cash and closed in 7 days, no contingencies. That won the deal for my young couple! On day 8, we had our buyers buy the same home, closing in 2 1/2 weeks from mom and dad with a 20% gift of equity.. alleviating mortgage insurance, giving them a payment that met their budget, and mom and dad got their money back right away. All of this was still done within 30 days!
Do you need a creative solution? Blessed with a family member who can provide assets? We need to talk! Give us a call today to discuss your options.
Real Estate financing in a way that builds long term wealth is what our team does best! Want to learn more about how to utilize real estate in your investment plan? Give me a call today to get started! We want your success as much as you do!