They’re back! Successful small-business owners can once again tap into the Zero Down Mortgages.
Zero money down mortgages are making a comeback. These mortgages don’t require any down payment and provide for 100 percent bank financing for the purchase of a home. But unlike last time, when these helped usher in the greatest financial collapse in a century, the new zero money down mortgages are being reserved for people with significant assets and income.
Banks offering these mortgages require that the borrower have investable assets equivalent to 20 to 40 percent of the home’s purchase price, but they aren’t requiring the borrower to use that as a down payment. Let’s assume you want to buy a $2 million home. Participating banks will offer you a $2 million mortgage if you can have at least $500,000 in investments. This ties $1.5 million of the loan to the home and the balance to these assets.
A little about Mike Periu
Periu founded Proximo, LLC nearly 15 years ago. The company provides small business education and training services with an emphasis on finance and technology.
Periu teaches empowerment through entrepreneurship and economic opportunity. He regularly appears on television and radio talking about these subjects.
Periu also writes for leading blogs about finance. These include: American Express OpenForum, Yahoo! Finanzas and the Huffington Post.
Periu studied Finance and International Business at Georgetown University. He is a Board member at the Council for Economic Education.
