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Deposit vendor financed by owner

Discussion in 'Property Finance' started by Coastal, 22nd Aug, 2016.

  1. Coastal

    Coastal Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    153
    Location:
    Brisbane
    Hi,

    Quick question.

    If I am looking looking to buy a property for say $300000 and the owner has agreed to vendor finance me the deposit of 20% for 18 months, would that impact my ability to borrow the 80% from a bank?
     
  2. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

    Joined:
    18th Jun, 2015
    Posts:
    8,937
    Location:
    Sydney
    Yes.

    1. can you show servicing for both debts? Vendor finannce payments may be high becaues of short term

    2. Getting a lender to agree to fund this will be difficult if you are not putting in any cash

    3. Will the vendor have a registered second mortgage? This makes it even harder
     
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