How To Get Money Out Of Property?
Here's a question:
If you have a property that just appraised at $90,000 and the seller will sell it to you for $45,000 and you know you can rent it out. Is there anyway you can purchase this property and immediately take out equity or cash in this property?
This would be a no doc/stated type deal.
Thanks,
Christian "The Solutions Kid" Beebe
[addsig]
I would think...in my limited knowledge that a bank or broker would tell you 80/20 and if that worked with the appraisal then I would think that you could receive instant equity in the property or work to cash out part of the money to go do another deal, or whatever. Especially because their risk is lowered because the house has rental income.
That is what I am trying to do. Offer the seller 30-40 % below appraised value...movitated sellers of course, cause the bank told me they would give me 80% and I don't even have a job.
Not bad.
Just my 2 cents
Good luck..I hope it works for you.
Well, if you flipped the property, you could get the money out...
But since you want to rent, you usually can't get a HELOC for year after you buy it. I would buy and hold for a year and grab a HELOC for the value of the home.
(just try not to spend all that tax-free money in one place )
You will have to find a lender that will do a non-owner occupied cash out refinance with no seasoning. That is easy, stated, no verification of employment - that will be more difficult.
Well, let me try to clarify. I have a property under contract that the seller wants to sell me for $45,000. The appraisal was done and came back at $90,000. I am trying to find the best way to take over/purchase etc this property and get some cash out at the same time.
I would plan on fixing it up a little and then renting it out.
That's the scenario.
Thanks,
Chris
[addsig]
Many times lenders offer seconds to save the borrower pmi or for a line of credit (just in case). Get a 50% first and at closing get a second in the form of a credit line.
I am doing the same thing on a property using a lender I found on this site. Type in your parameters and then lenders with thoses programs pop up - simple.
Good luck.