Life Insurance can this help for Downpayment!!!

aladysiren · Joined: 10 May 2007 Posts: 22 8.78 Dollars($)

Hi i was wondering for anyone you knows much about life insurance someone told me that opening a life insurance is a good idea because later on you can borrow out of the account to help pay for a house or use it for the downpayment is this true.

Guest 0.10 Dollars($)

aladysiren, you can use life insurance money for downpayment but apart from that you can also use a loan or grant from some non-profit organization, municipality or your employer or gift from any of your family member.

miller_st · Joined: 17 Jan 2007 Posts: 917 168.82 Dollars($)

Hi Siren,

After you have built enough cash value in your life insurance policy in a few years time, you may be in a position to borrow an amount from your policy equaling up to the accumulated cash value.

Let me also add that there are state and federal programs known as down payment assistance programs which can be used for this purpose.

And there are some mortgage programs where if you qualify, you will not have to make any downpayment also like the mycommunitymortgage from fannie mae.

If you need some more information about such options then please let me know.

Miller

Guest 0.10 Dollars($)

I know of some sites which provide downpayment assistance, you can check them if you need to know about their programs:

http://www.ameridream.org/Homebuyers/

http://www.partnersincharity.org/new_site/i_buyers.htm

http://acornhousing.org/TEXT/homebuying1.php

aladysiren · Joined: 10 May 2007 Posts: 22 8.78 Dollars($)

Thank you for responding oh and thanks for those sites very helpful

blue · Posted: Sat May 12, 2007 8:41 pm Post subject:

Hi Aladysiren,

You can also take a look at some of the other sources that can be utilized in making the downpayment from this page: http://www.mortgagefit.com/down-payment.html

Thanks
Blue

helping_user

Alady,

One can borrow from the cash value amount of the life insurance policy and use it to make the down payment on his home. Also, one can use the policy for educational purposes or as retirement income.

Thanks

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