Question
How do you buy a house with money won from Vegas?
My friend won money in Vegas. Let's say enough money to pay for a 3-4 bdrm house. She is planning on doing just that. So, she makes a little over $23,000 a year with her full-time job (she's a full-time student also) and now she is getting around $55,000 in annual payments every year for a certain amount of years. Does anyone have any suggestions on how to pay for a house in her situation? She can't buy off a house yet since she doesn't have enough. She does has enough for a reasonable down payment and then she has more than enough to pay the monthly payments and housing expenses. How would you talk with a Realtor without actually going into your business of winning money in Vegas? She wants to be very discreet in where her money came from but doesn't know the first thing about buying a house and how the process will go when they go over her financial status. I'm sure the $55,000 annual will have to come in somewhere since she doesn't make a lot from her job but does anyone have any suggestions on how to address the Realtor or Mortgage people?? You're help is greatly appreciated. Thank you Yes, the money is legit. She has the documents and everything. She has already received her annual payment for this year. (I was with her in Vegas when she won and has been helping her with her decisions.) Does anyone have any suggestions on what to say to the people who will do her financing?? Oh, about the discreet part.. it's because she finds it annoying how people react when they ask how she has the money. It's an endless list of questions.. the last time she talked with an accounting personnel, the lady asked all kinds of questions cause she was so astonished on a young person winning so much money. She asked where she won it and how much and yadda yadda,.. this is the reason for being so "hush hush" about it. It really is annoying when people ask so many questions, to her anyway. Thanks for your answers! I figured she should get pre-qualified by the bank first to make her time with the Realtor smoother/faster and also so she won't have to discuss how she has the money. (Maybe)
5 months ago - 5 answers
Best Answer
Chosen by Asker
Your friend should go to a banker and get approved for a mortgage before talking to a Realtor or looking at houses. She should take the documentation for the distribution from her winnings and any other sources of income to the banker. Neither the Realtor nor the sellers have to know any of her finances. The bank should give you two letters, one with the amount for your realtor and one without the amount for the sellers. Since your friend has the documents to prove where her money comes from and how long she will be getting this amount, the bank should be able to count it as income.
by Angie
5 months ago
Asker's Rating: 
Other Answers
I am assuming your "friend" won money in a legit manner? If so, she should have some documents that show the is owed and WILL be paid this money on an annual basis. On the back of thsi document (if it is legit and from a legit source) then she will be able to get a bank loan. If it's not legit and it's from some big shot paying her money for something, or illegal activities then there will be no way to hide it. Banks always want a document with proof. Any bank that doens't is suspect.
by Jim- 5 months ago
She will have to secure a mortgage thru a lender first. Long before she hires a Realtor she should go to a bank and get pre-approved for a mortgage. And in this situation she will have to reveal where her income is coming from. (you can't keep your source of income a secret from a banker...) She will never have to reveal her source of income to her Realtor once she is pre-approved by a bank for a mortgage.
by Reena- 5 months ago
Your friend should be up front about the source of her income. Since it was probably a progressive jackpot, payable over a number of years, she will have a reliable income for the term of the payments. And naturally she's paying the Federal Income Tax due on the winnings. Explain this to the realtor and he will assist her in the preparation of all the loan documents.
by Bobby B- 5 months ago
They won’t care where the down payment came from. Cash is cash. The financing issue will be how much she has to borrow and what the bank thinks about her ability to pay it back. If she wants to buy a 100K home with 50K down and a steady 25K a year job…. That seems very reasonable. If she wants a 300K home with 50K down and a 25K a year job… good luck.
by Proud Libertarian- 5 months ago
There is no need to be discrete. I do not understand why she feels the need to hide it. There is nothing wrong with winning money. Just be upfront and explain it to them. They will ask for proof of the annual income in order for her to qualify.
by Wildcat- 5 months ago