New Investor In Need Of Rehab Money
I am considering making cash purchases of properties for less than $15000. These properties will need approximately 10 to 15k in rehab. I am trying to figure out ways to borrow the rehab money. Will I be able to take out a mortgage on these properties as a way to obtain money for rehab?
Thank you for the feedback. I plan on holding and renting. In these areas the rent ranges from 500 to 800 a month. Once I develop positive cash flow I will then look to buy, rehab, and sell.
I have discussed HML w a broker but he said many dont like to lend less than 50k. I may purchase several and borrow from a HML to rehab them all at once.
Just looking for the best strategy to start out.
I have spoken with several brokers who seem pretty confident that with a credit score above 700 we can get a bank to refi to get out from under the HML.
Although brokers seem confident, I really need to hear from actual investors to get a better perspective. I have done some research and identified banks that are still offering loans on investment properties but guidelines are very strict.
Depending on where you are located I may be able to help. Rather than use your money to purchase and borrow the rehab money I have a big stock of houses where I could finance the purchase for you if you had the money to do the rehab. I might even subordinate some or all of my purchase debt to a new first when you refinance.
I would like to hear more. I reside in NYC and having been researching areas for investment that include Rochester, NY Buffalo, NY, Philadelphia, Penn, and possibly Detroit, MI. Where are your properties located?
All over the country but I must say that at least Detroit and Buffalo are pretty dicy places to start investing right now. I like Philly but that may be a personal prejudice and I have no information re the market there.
You can e-mail me at hotmail-- same username as here.