Breaking The Ice
I am a 20 yr old male from central new jersey.
iv been studying real estate investing every day for a few months and im ready to start working on my first deal...
im looking to buy a 3-4 family house, most of which are in the range of 250-400,000.
i have good credit, but no job because i recently just had surgery on my right hip joint from a car accident i was in...
from this car accident, i will be recieve a considerable insurance claim settlement for atleast 500k within the next 2 years....
i want to get started now so by the time this money comes, i know how to use it...
im having a hard time finding 100% financing for closing a deal, my credit is good (high 600's) but i have no job...
i can get laons with money down but i dont have the $$$ to put down
can anyone give me advice on how i might go about getting the financing i need?
is there a way for me to use the insurance claim as collateral if i can prove ill be recieving that large sum?
any advice would be greatly appreciated i know theres alot of knowledgable investors on this site as iv seen your great insight in many other topics and posts...please help
~Andrew
no help? let me be more specific...and simple
im having a hard time getting a no doc loan for 100% financing
i dont think any private lenders will want to work with a first time investor, so getting capital for a down payment seems like just a dream?
any tips? or better solutions? please help :-?
I assume that you are looking to buy and hold. You probably need to find a financially distressed property and get financing help from the seller or do a lease option with the seller. Keep in mind that you may need to solve whatever problem put the seller in financial distress. You might also look into borrowing against your future insurance claim. I am not sure if this is possible or what the terms might be, but, I have heard ads for getting a lump sum early on such payments. This is just a suggestion for you to explore and not a reccomendation.
Andrew, 100% no doc is a tall order. As the previous poster suggested, you need to get good at pitching seller financing. If you can get them to hold a 10% second, get 90% financing and ask them to pay closing costs, yuo can do good.
How do you pitch seller financing? Ask them what they will do with their money. If they say invest it or put it in the bank, you can guarantee them a better return by giving them 10-12% (or whatever amount you negotiate)
GL
[addsig]
yea ed, iv heard of those ads too...not so sure if i would wanna take an earlier payment for less money though...but the distressed property idea is a good one...i will look for some and see if i cant get a lease option
thanks so much for your attention and time
ray, thats an idea thats passed through my mind....not having experience, i wouldnt know the first step in getting seller financing, which is usually the only step id need to get in the right direction...
but since you gave it to me i think i could come up with the rest...
i appreciate ur advice and im going to work on a pitch and start getting in touch with some sellers....
i had a loan officer tell me he could get me a 95% no doc loan...so i think thats the best way to go
again, guys, thanks for your time, and attention...
its never overlooked and always appreciated
~andrew