Down Payment Assistance to purchase in Mexico (and refinance & equity loans in the US and Canada)
In recent years, interest rates for Canadian and US buyers have become
very competitive. One of the biggest challenges to purchasing in Mexico
is that closing costs and the minimum down payment are higher. Fortunately, our lending
sources allow buyers to borrow any, or all of their down payment and/or
closing costs - as long as we include the payment terms for this loan in
our debt-to-income ratio qualification for your Mexico mortgage loan.
There are different sources you can use to generate additional cash needed to close on your property in Mexico. These include:
Borrowing against a car that is currently paid off
Borrowing against or selling stocks and bonds
Borrowing against your retirement (RSP or IRA)
Borrowing against business assets
Borrowing against your primary home
Borrowing against investment real estate
You will need to weigh which of these alternatives will fit best with
your investment strategy and retirement plans. There are potential tax
ramifications to some of these choices that need to be considered.
Perhaps the best alternative for you is to borrow against real estate
you already own in your home country. This allows you to generate the
needed cash to purchase in Mexico, and it has no tax consequences such
as early withdrawal from a retirement account may have.
There are three different options for you to consider when borrowing against existing real estate in the US or Canada.
Home Equity Line of Credit (HELOC)
Refinance to pay off your existing loan with a loan that will also
give you cash out and possibly a lower interest than you're currently
paying. Closing costs can be paid from the proceeds of the loan.
If your home is free and clear, you can get a cash-out refinance. Closing costs can be paid from the proceeds of the loan.
Mortgages In Mexico is approved to get your loan approved and closed
in all 50 States in the US and throughout Canada and Mexico. We are able to get
your loan approved using the same application and documentation that you
will provide to us for your Mexico mortgage. By applying only once for
both loans, this not only saves you time and the frustration of
gathering and re-sending documents, but it also saves you money and will
result in fewer "hits" to your credit report. This will preserve the
highest credit score possible in order to get the best rates for both
your Mexico mortgage and your loan you are getting to supplement your
down payment and closing costs requirements.
You can apply for this loan using the same application that we will be using for your Mexico mortgage. When you apply online,
be sure to let us know that you would like specific details for a loan
to assist you with your down payment and closing costs. After
discussing these important details, you can direct us to use your
application and documents for both your Mexico loan and your HELOC or
refinance loan.
