There is no question about it; if you are looking to buy a home you are going to need some form of a down payment. At minimum lenders are requiring at least a 3.5 percent down payment. Here are a few tips to help you secure the down payment you will need to purchase the home of your dreams in Crow Wing County.
- Gift- If you have a family member who is willing to gift you money this can help you with your down payment. The giftor needs to be able to provide a paper trail of the money.
- 401K- If you have a 401(k) or an equivalent retirement fund you could borrow funds from it to help pay your down payment. Keep in mind that depending on the term of the loan you are obtaining borrowing from this fund could be factored into your debt-to-income ratio so be sure to check with your lender.
- Trust Funds-If you have inherited money or won money thru a lottery or gambling this money could be used as a deposit.
- Sale-If you have a recreational vehicle you could sell it and use the proceeds from the sale to apply towards your down payment. You will be required to provide a bill of sale to the mortgage lender.
- Credit Line-If you are unable to secure a down payment via the other options you can always take out a personal loan, known as your own line of credit. You will need to deposit the money into an account and in two months’ time you will be able to use this money for a down payment.
If you are looking to buy or sell a home in Crow Wing County, contact me, Bill Grunewald. My team and I enjoy helping folks like you find just the right spot to live your northern Minnesota Lake Country dream.
Bill Grunewald/ Edina Realty.
Licensed in Minnesota/ Lic # 20204156