Newbie Question Could Someone Offer Some Advice

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hi I am very interested in getting into buying run down houses and rehabbing and selling them for a profit,I live in a hot market,have the ability and experience to do 90 percent of all repairs and upgrades to homes to make them desireable to buyers,tile ,plumbing cabinets,painting drywall ect.and have a decent contact list of vendors who will give a decent price on repairs that I cannot handle such as roofs air condiction www.etc.I donnot have alot of cash to put out to buy convenionly,I have about 2-3cash and 3-4000 credit avalible and have a 620 or so creditscore ,plus about 30,000 in equity in my home but would rather not touch that,I would like to target 3-4 bedroom homes that would be attractive to first time buyers that I can improve within a 3month time period,new carpet,tile in kitchen and bath,new cabinets and fixtures and fresh paint in and out plus air condiction upgrades if needed andnew roof if needed,in the past I have done all these repairs in less then 3 months and 5000 in material cost,this may seem a bit to much work but i hope to get offers as soon as house market ,how can I get into this myself and stop making the investors I work for richer,would assumable loans be my best bet or should I consider a hard money lender or partner with a www.investor.thanks in advance

Comments(2)

  • bgrossnickle10th June, 2004

    Assumable loans are not an option. There are so few assumable loans and most of them area years old which means they have a ton of equity. I would get a money partner. Go into the worst areas of St Pete or Tampa and find out if anything is selling. Then try to buy cheap vacant or condemned houses. You man puts up the money and you do the work. You figure your time is worth $$$ an hour. Split the profits.

    Brenda

  • tinman175511th June, 2004

    You should use the equity in your house as working capital. Everyone who is successful in this business had to take a risk.
    Also find out why your credit is 620. Get a copy of all three reports and start there.
    You are already at the door, now open it. Go to a REI meeting and start networking with private investors or other new people who have money but no skills at rehabbing.


    Good Luck
    Lori
    [addsig]

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