Perhaps you've heard of Sir. Richard Branson's most recent venture, Virgin Money.  It's a concept my grandfather employed in the 1960' and 1970's when he owner financed homes that he owned for employees.  Virgin says:

"A Family Mortgage is a private loan from someone you know that is typically used toward the purchase of a home, or to refinance an existing bank mortgage. Imagine: Aunt Sarah as your mortgage lender!"

There's another Social Lending Company that might offer help for folks who are trying to scrape up the cash for a purchase, or need help getting on with life via a short sale.  Zopa, says it's "FaceBook meets Lending."  It's a new concept that would, for instance, allow me to help pay for my nephew's college tuition, $20.00 a month.  If I sign up for $20 a month, and my folks agree to $20.00 and another aunt and uncle agree... well, pretty soon that student loan payment is almost nothing.  These unsecured loans are for $25,000 or less, and you must have a 640 credit score.

At this time, we do not have lenders who will accept this as downpayment... but I think it could be the new answer to DownPayment Assistance! 

If you have questions about prequalifying for a home in Wake or Johnston County, call Steve and Eleanor Thorne, Mortgage Lenders 919-649-5058.