{"id":1874,"date":"2021-12-07T10:00:00","date_gmt":"2021-12-07T15:00:00","guid":{"rendered":"https:\/\/www.deeds.com\/articles\/?p=1874"},"modified":"2024-04-25T23:19:23","modified_gmt":"2024-04-26T03:19:23","slug":"bitcoin-for-mortgages-and-down-payments","status":"publish","type":"post","link":"https:\/\/www.deeds.com\/articles\/bitcoin-for-mortgages-and-down-payments\/","title":{"rendered":"Bitcoin for Mortgages and Down Payments"},"content":{"rendered":"\n

Fannie and Freddie Weigh In<\/em><\/strong><\/p>\n\n\n\n

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The future is here. People now buy homes with\u00a0bitcoin. Some of the most upmarket real estate listings accept top cryptocurrencies<\/a> and even showcase blockchain-based digital art inside the home. (The art concept is pretty intriguing. People buying digital art as part of a home could build massive collections of and rotate the individual pieces with a click of an iPhone.) \u00a0<\/p>\n\n\n\n

Most people who have the digital assets to buy, furnish, and decorate a home, though, do this after converting the coins to cash, and making a cash offer.<\/p>\n\n\n\n

What about working with lenders? Will they understand, say, bitcoin as a legitimate asset of the cryptocurrency investor<\/a> who wants it counted when seeking a loan approval? Let\u2019s get into all of this now.<\/p>\n\n\n\n\n\n\n\n

Mortgage Backers\u2019 Crypto Policies<\/strong>: A Current Rundown<\/strong><\/h2>\n\n\n\n

With some non-qualified loans<\/strong>, you can use your cryptocurrency to buy any home. A recent cryptocurrency account statement works as documentation, says mortgage broker Jeff Lazerson, for your down payment. Money down and closing costs plus required cash reserves can even come from gifts of cryptocurrency. You\u2019ll convert crypto assets into dollars and wire the funds to the escrow account, as in the usual process. You only need a FICO score of 700+ for a down payment of 25%+. For those with a score of 660+ the minimum is 45% down. Interest rates may be 5 to 6 percent.<\/p>\n\n\n\n

Fannie Mae<\/strong> loans are accessible today for borrowers who use their cryptocurrency in down payments. To be considered as an eligible asset for a conventional mortgage loan approval, the digital assets must first be converted into dollars.<\/p>\n\n\n\n

Freddie Mac<\/strong> recently issued guidance for cryptocurrency in mortgage approvals. Taking note of \u201cthe high level of uncertainty associated with cryptocurrency\u201d in its update, it updated its Seller\/Servicer Guide to say:<\/p>\n\n\n\n