How can you get a bank loan for a house when you don’t even have nearly as much for collateral? March 18, 2010
Posted by Banking in : Renting & Real Estate , 9comments
I was looking at a book about real estate investing and it says you can take a small amount of money (Example:$10,000.00 and have the bank give you a $70,000.00 loan added to your $10,000.00 and you can invest in real estate by buying your first home. Now, how in the world is the bank going to give anyone that much money when they don’t even own that much? Plus, what if they’re credit is bad? I guess they can’t invest in real estate can they? If they still can, please explain to me how this is possible regardless of credit history?
I got this information out of a book about little or no money down on real estate investing. I think this is B.S., especially I went in the bank and tried to get a home loan and they told me my credit was way too bad.Submited by:God’sStrength