Ok if I can’t get refinanced because of my credit, will it be easier to find another rehab with a good LTV and get an HML? If so does anyone know of any in Indiana? If I can go that route then I can take profits and get my score back up. Any help is very much appreciated. :
This would be my first HML, my husband and I built our house and he worked in construction for several years, so the repairs are the easy part. I could find a deal to make sense, but do you need the money to do the repairs, and then they reimburse you? Any advice is much appreciated. Thanks.
You find a place that needs to be rehabbed
You get good comps, so you will know the ARV
Knock off 35%, so you have 65% left
This is the maximum amount of Hard money you can get.
Then you take out the rehab cost, the holding cost, taxes , insurance, then what is left over is the maximum allowable offer MAO you can make on the house.
The key word is maximum.
Remember to start low. If you are not embarrass about your offer it is to high !!
I hope this helps
;D
Bruce
Thanks, you’ve been a great help. Now I’m out for more research.
There are HML that will do 70% arv.
Most HML will not give out funds for repair without working being completed.