How do you get your down payment money if you’re low on funds or not ready to reinvest your cash? For many rookie investors who don’t have large cash sums sitting around, much of their initial investment has to be done through borrowed money. This means not only getting a conventional loan from a bank but privately financing their down payment as well. But, before you start asking your grandma for some “seed funds”, make sure that your bank will allow you to borrow down payment money.

This week’s question comes from AJ through Ashley’s Instagram direct messages. AJ is asking a question many new investors have: If I borrow down payment money from friends or family, what’s the best way to pay back the down payment while cash flowing on the property?

Both Ashley and Tony have dealt with many conventional loans and private money lenders, so they know what will (and won’t) fly with the banks when trying to finance your rental property. So make sure you’re crossing your t's and dotting your i's when it comes to borrowed money used for a down payment!

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Join BiggerPockets for FREE:
https://www.biggerpockets.com/signup?...
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Join the Real Estate Rookie Facebook Group:
  / realestaterookie  
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5 Ways To Get Down Payment Money: https://www.biggerpockets.com/blog/20...
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Calculate Your Rental Property Profits:
https://www.biggerpockets.com/rental...
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How to Structure Your Private Loans:
https://www.biggerpockets.com/blog/st...
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How to Calculate CashonCash Return (Made Easy!):
https://www.biggerpockets.com/blog/ca...
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Connect with Tony and Ashley on BiggerPockets:
Ashley: https://www.biggerpockets.com/users/e...
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Tony: https://www.biggerpockets.com/users/t...
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Shoot Ashley or Tony a Question on Instagram!
@wealthfromrentals or   / wealthfromrentals  
@tonyjrobinson or   / tonyjrobinson  

Episode 160

Show notes at: https://www.biggerpockets.com/rookie160