Hi {first_name},

 

You know, I was thinking about assets, down payments and all that...

 

I decided to reveal another one of the 7 Fatal Mistakes That Can Kill Your Chances of Borrowing Money 

 

It’s linked to Assets and Down Payment of the four Cs, so it will illustrate my points nicely. 

 

Fatal Mistake #2 - Moving Your Assets Around (between accounts or banks, etc.) 

 

Moving is tough… and extremely stressful. 

 

You know, packing all your things in the relevant boxes, labeling them and then unpacking them later. 

 

Moving your funds around is kind of like that… for your lender anyway. 

 

And it’s a headache. 

 

Every transaction over $500 has to be verified at both ends. 

 

Meaning that it will show up as a completely new deposit. Its source will need to be verified. 

 

Depending on where your accounts are, some funds may not be able to be sourced…

 

… and that means that they can NOT be used for the down payment. Or the closing costs. 

 

Remember the tip I shared in the last email? (Go back and look it up if you don’t)

 

If those are your only funds, watch out… It might cost you the loan. 

 

You can move the funds once the deal signed. 

 

That said, in some cases it could be good for you. Schedule a time to talk and I’ll help you avoid the cost of this deadly mistake.

 

Down Payments

 

Mortgages are all about risk. 

 

Or… what is the risk of YOU not being able, or willing to repay the loan. 

 

Imagine you have 2 houses. 

 

For one you would have paid a down payment of $100,000. 

 

And the other you would have paid nothing for. 

 

Imagine that times got tough, real tough. 

 

You could only pay back one of them… which one would it be?

 

I bet you chose the one with the hefty down payment. 

 

Right?

 

That would be the basic logic of your lenders as well…

 

A quick tip…

 

Sometimes a larger down payment is NOT a benefit because it only slightly reduces the monthly payment and does not affect the application at all. So keeping that cash in your reserves can prove to be the best decision. Get in touch with me to discuss your options.

 

Ok, one last secret technique…

 

Keeping more money in the reserves is smart.

 

Your reserves tell the lender that you will be able to keep paying in case of income change.

 

Typically, 2 months’ minimum for private residence and 6 months for investment property. I can always help with the specifics on your situation. 

 

This email went a bit long. Again :)

 

I’ll have to reveal the rest of the secrets like:

...in the next email. 

 

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