SBA loan for a house?
I am currently in the process of selling the house I inherited from my grandmother last year.
I just accepted an offer from someone who has already been approved for an SBA (Small Business Association) loan. The house they are currently in is mortgaged through SBA. Have you ever heard of this? I thought SBA loans could only be used for business purposes. Since we are in the New Orleans area, I wonder if it has something to do with the hurricane?
This is all making me nervous, because my sale won't happen unless the sale on their house happens. Apparently these people are pretty hard up and upside down and are desperate to get into my house, which is much cheaper. They are choosing to forgo an official inspection because they don't have the money. Apparently, the buyer is a mechanic and he will self-inspect. There is a last minute glitch in the offer on their house which is hopefully in the process of getting ironed out as we speak.
The realtor tells me that once the offers are signed, it will take 20 days for the SBA to have the financing ready, and the closing is scheduled for July 15.
Yuck--I am getting stressed already and it hasn't even been a day yet!