The popularity of buying rental property with no money down peaked in the early-1980s when most real estate loans were assumable — the buyer of the property essentially took over or assumed the payments on the current loan from the seller. Properties weren’t appreciating that quickly in that time frame, so many owners didn’t have significant equity in their homes and were willing to take small down payments or carry seller financing as part of the transaction. The advent of the due on sale clause in many mortgages virtually eliminated the ability of buyers to assume the sellers current loan.
http://www.buyingrentalproperty.org/buy-rental-property-with-no-money-down/
No comments:
Post a Comment