The minimum is 100,000. This would require that you acquire 90% financing with a down payment of 10% ($75,000). If you wish to leverage the purchase you may be able to find financing with 5% down. Anything less than 10% down would usually incur an unfavorable interest rate which is not recommended due to the size of the loan. Below are the itemized costs to when purchasing a home in Southern California for $750K.

Purchase Price: $750K

Minimum Amount of Liquid Cash= $100,000

Allocation of costs:

$75,000 down payment

$1,000 inspections

$10,000 closing costs

$14,000 upgrades

Ideal Amount of Liquid Cash= $200,000

Allocation of costs:

$150,000 down payment

$1,000 inspections

$10,000 closing costs

$39,000 upgrades

* Any amount of liquid cash between $100K- $200K is suitable for purchasing a home or condominium for $750K.

When will you be required to have liquid cash during a transaction?

Deposit = (when you locate the property and make an offer)

Inspections = (once your in escrow which is usually 30-45 days)

Final settlement = (five days before the close of escrow)

How much will your monthly payments be?

With all of the various loan products on the market today, you need answers to exactly what will be showing up in your mailbox on the first of every month. We are happy to provide our loan expertise with you to find a loan program that meets your needs. The loan programs we recommend do not have pre-payment penalties. There are three items that will determine your eligibility for a loan; credit score, size of down payment, and supporting financial documents. Your credit score is by far the most important.  The size of your down payment is also very important. The smaller the down payment, the more scrutiny a buyer will receive from an underwriter reviewing the file prior to funding a loan. A lender may ask for tax returns, bank statements, and several supporting documents. Please contact us directly to go over the various loan programs. Together, we will determine the best payment plan for your needs.