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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]I have made two all cash offers with no contingencies -- one on a townhouse in a highly desirable area of the DMV, and the other on a second home.  In both instances, I provided an automatically generated letter from my brokerage firm showing that we had a larger balance in the account that we planned to use than the asking price for the house.  That was the only thing that we provided, and it was deemed sufficient.

[b]In one of the cases, we paid for the house in cash from that account but after closing immediately turned around and got ourselves a mortgage. [/b] If you do that within 60 days (I think) it's treated as a home purchasing mortgage and not as a refinance or a home equity loan.  That makes the terms a little better.

[/quote]

You did what now?  That's not the way!  Was it FSBO and no one advised you? [/quote]

it's absolutely the way. as long as the mortgage closes within 90 days of the house sale, it can be deducted as a mortgage for acquisition in your taxes.

also some banks are squirrely about lending to self-employed people, but are willing to put, say, a 60% mortgage on an already acquired property.

one bonus of paying cash is that you can get a title insurance policy for the entire property value, and then get a separate policy for the mortgage holder later.[/quote]

But didn't you have to pay taxes on the sale of investments? Why didn't you borrow against the shares (avoiding the taxable event)?  You can then mortgage the house and repay the line of credit. [/quote]

in that case , i needed to divest and diversify anyway, and had just been putting it off until I found a place I wanted to buy. my financial advisor just was ecstatic that I finally had pushed the "sell" button, because half of my net worth was concentrated in my former employers stock.[/quote]

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