Financing in Palm Springs>Question Details

Vicki, Home Buyer in Palm Springs, CA

It's getting worse and I don't get it. Now we're told lenders want 50% down from Canadians. A report in the

Asked by Vicki, Palm Springs, CA Fri May 30, 2008

Desert Sun says Canadians are driving a lot of the sales uptick in Palm Springs. Are Canadians considered higher risk or are lenders more interested in getting cash than paper?

Help the community by answering this question:

Answers

7
Good Luck Vicki, wishing you a smooth escrow on this one.
Web Reference: http://www.investdesert.com
0 votes Thank Flag Link Sun Jun 15, 2008
Cool! Wish us luck! We're trying - again - for an REO property in Palm Springs. Honestly, I've never had so much trouble giving someone our money.
0 votes Thank Flag Link Fri Jun 13, 2008
My understanding is if it all cash, the money doesn't need to be seasoned.
0 votes Thank Flag Link Fri Jun 13, 2008
OK, so hypothetically speaking, if a Canadian wanted to buy a home and was willing to pay cash - no financing - and the entire amount was deposited at the start of escrow, would they then be "seasoned" by the time escrow closes - say 6 to 8 weeks later?
0 votes Thank Flag Link Fri Jun 13, 2008
I'm working with a couple of Canadian's purchasing homes in Palm Springs right now. A new development- Homeland Security Officials are now requiring the the money being put down by foreign nationals, needs to be "seasoned" in a US Bank account for 30 days. Keep that in mind if you're trying to purchase a home in the us and are getting a loan. (Cash buyers don't have this requirement). Its getting tougher to buy, but doing your homework and being proactive, should make the process easier.

If you have any additional questions, please email me and I'll be happy to share my knowledge and experience working with Foreign Nationals
Paul Kaplan
GMAC Pacific Union Real Estate
paulkaplan5@aol.com
0 votes Thank Flag Link Thu Jun 12, 2008
Just quick note;

On lenders point of view.
I have worked for several national banks and we have eveluated various demographics and borrowers, such internation borrowers is one of them. When the data came back, we have realised that foreign investers has very minimum rate of defaulting due to the fact that they put more down payment. However, the risk side, foreign invester means, who has no history of iborrowing n the country, and no record. Which is obviously a no no., if the housing market is further deterating. Therefore lender usually ask 20% 30 down payment depends on the size of the loan. Wachovia requries 30%.

One last point is that no country encourages huge flood of foreign real estate investers to invest in their country. That means it is part of law makers decision whether to ease the restrictions on it or not.

Thanks,

Sean Thorson
Wachovia Mortgage
415 438 0923
sean.thorson@wachovia.com
0 votes Thank Flag Link Sun Jun 1, 2008
Lenders are nervous about loaning. I think they do feel the Foreign National's are a greater risk- harder to go after if there is a default. Most of the lenders I work with are requiring the 50% down now, unfortunately. The lenders are taking a huge hit with all the foreclosures, so they're aprehensive about loaning money to anyone these days!!
0 votes Thank Flag Link Fri May 30, 2008
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2016 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer