This topic may be on the site but I was not able to locate anything specifically. I am a RE Broker and newer investor. I currently own 3 homes, 2 of which are paid off in full worth approximately 90k total. I really want to leverage what money I have to purchase several more rental properties however being in real estate I am a 1099 contractor of my C-Corp. Credit is in the 700s however proof of income is non existent due to writing most expenses off. Any tips or advise without going the hard money route to secure additional funds for “deals” I come across? I may end up going hard money route but I would obviously much rather go a different route to purchase some properties. BTW, I am a buy and hold type of guy so this would be for rental properties 5-8 year loans. Any advise or tips is greatly appreciated as I have too much cash tied up in paid off properties…no stress but limited room to grow :banghead Thanks for any input!
The obvious place would be to look at your 2 pif properties. If you want leverage why would you sit on 90k!?! Heloc! Cash-out Refi! On one hand it sounds like you are proud of having two paid off properties:
2 of which are paid off in full worth approximately 90k total
greatly appreciated as I have too much cash tied up in paid off properties
buy and hold type of guy so this would be for rental properties 5-8 year loans
Yet, you want too grow and leverage:
I really want to leverage what money I have
but I would obviously much rather go a different route to purchase some properties
no stress but limited room to grow
Leverage what you have, to further your growth. 1031 your paid off properties into a larger system.
Thank you for the input. I am just uncertain about being able to obtain a heloc on the paid off properties WITHOUT being able to show proof of income?.?. Do you believe this could be obtained without showing proof of income and based soley on the equity in the homes? Thanks!
HI! Saw your post on refinancing, etc as 1099 independent contractor and real estate broker/investor.
I’m also a broker and investor and have run into the same issues finding a bank that will cash me out of an investment property I own free and clear. It’s looking very difficult for self-employed workers.
I can show monthly bank statements showing solid income but they still will only approve me on the tax returns. I have 800 credit score too and it still doesn’t matter.
Have you found any lenders out there that are lending to low-risk self employed individuals? Would love to know if you found someone out there that can help!