What kind of down payment is needed on a bank owned property? Also, is Clairemont Mesa East safe for a SWF?

Asked by Marcet, Boston, MA Tue Sep 23, 2008

This question is about this property: http://www.trulia.com/property/1068738366-6555-Mount-Ada-Rd-…

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Bill Eckler, Agent, Venice, FL
Wed Sep 24, 2008

Your agent will guide you through the initial contract presentation. Then the bank will counter with what they want for a full deposit. This amount will depend on the sale price of the home and what the bank is looking for from a serious buyer.

Good luck,
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Nathan-Crudo…, , 92101
Tue Sep 23, 2008
Hi Marcet, the down payment needed on a bank owned depends on a variety of things. If the property is considered "habitable" meaning its in good condition than you could get away with doing an FHA loan with a 3% or 3.5% down. The flip side is that recently most bank owned properties, if they're in good condition and well priced... have been receiving multiple offers. So when banks have to compare between offers in a muliple offer situation, the stronger the down payment the more security in the loan going through. With bank owned properties that need some TLC, you'd have to do a conventional loan with at least 5%-10% down. There's lots of circumstance that can make the down payment vary, so if you'd like to give me your specific scenario I would be happy to let you know what would work best for you. Best of luck!

Alida Crudo
Ascent Real Estate
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