Best finance options for someone with good credit

I posted this on another thread, but I thought I should post it here and not take over someone elses thread. ;D

My parents, my husband and I have decided, after many years of being in the renovation business for other investors, that the time has come to invest in properties ourselves. We decided that between us we had enough experience to make it work (they own the business, I am actually a Sr. Buyer for a large corporation, and my husband has owned his own home restoration company of his own for years). So we know how to do the work, know how to negotiate good buys for materials, know how to give a property “curb apeal” etc…

The knowledge we don’t have however; is how “hard money lenders work”, or if that is even the best route for us to take

We are literally “babes in the woods” with this part of it. We found a hard money lending company that “looks” reputable, they want us to put the repair money in an escrow, etc. That alone makes them seem reputable to me.

Problem is, I don’t think we will have the cash to do a lot of repairs and get reimbursed later. That IMO makes us vulnarable. Does anyone have any advice for me on the best type of lender? How are other investors with good credit getting financed? What should I be weary of? etc.

Any help would be great!


We all would need to know a lot more. What are you trying to do exactly right now? Do you have a property in mind, price? what does your credit look like? How much money do you need? This is a start.

oops, sorry.

Basicaly we are just wanting to do a classic “flip” of properties.

Purchase houses in “as is” condition
Completley refurbish them
Sell them with as little turn around time as possible for current market value.

Oh, Credit is good to excellent. (682 on one and 782 on another report) No judgements, bankrupy’s, liens, repos, or anything else.

Debt income ratio is maybe middle ground (possibly where the 682 ios coming from?) Not sure.

You will get better rates and terms with a “Rehab lender” as opposed to a hard money lender.

If your credit is that good you should be able to get better financing terms than hard money lending. Feel free to email me and I can forward some information to you.

marc :slight_smile:

My advice is to talk to a good mortgage broker that deals with investment loans before you dive into hard money. You could save a lot of money by doing so.