Can you get a 1st mortgage for more than the price of a home to be used to make repairs &/or pay

Say the purchase price is 140k can you finance 160k and take the $$ left over to make home repairs and pay credit card debts off?

Can you get a 1st mortgage for more than the price of a home to be used to make repairs %26amp;/or pay debt off?

Only if the house is worth more than $160k but yes, you can use the extra money for whatever you want...I recommend paying off the car or getting a newer one.

Can you get a 1st mortgage for more than the price of a home to be used to make repairs %26amp;/or pay debt off?

only if the house appraises for the increased amount. the mortgage company will not give you a first mortgage for more than the appraised value.buy it and then take out a second mortgage, most of the time on a second mortgage they will let you go to 125% of the appraised value.

Can you get a 1st mortgage for more than the price of a home to be used to make repairs %26amp;/or pay debt off?

Yes, but not as you think...read on:

The bank considers the %26quot;value%26quot; of the home during a sale to be the lower of the purchase price or appraised value. In your case, that%26#039;s the purchase price. So in the bank%26#039;s eyes, 100% financing can not exceed $140K. However, there are some banks that will alllow you to go to 107% on a purchase and you can consolidate with any left over money, but you%26#039;re going to get killed on the rate.

The better idea is to purchase the home and once you take ownership, refinance to 100%. Once you legally own the home (after the purchase and purchase loan is completed) now the bank will consider the value to be the appraised value.

Be careful here though, not every bank will do this. It%26#039;s called a %26quot;seasoning%26quot; requirement. In other words, most banks will require you to own the home for 6-12mos before they will value it at anything other than the purchase price. However, there are plenty of wholesale mortgage companies that do not have seasoning requirements and will allow you to cash out after only 1 day in the home. Consult a mortgage broker for those programs.

Can you get a 1st mortgage for more than the price of a home to be used to make repairs %26amp;/or pay debt off?

There are few over 100% programs out there, They are very tough to qualify for. Typically you have to wait 6 months after the purchase. I do not know of anyone that will fill give cash out on a purchase.