I have a contact who is wholesaleing properties in Ohio. The plan is to buy them for $33K, ARV is around 65K. I will use borrowed money to purchase and rehab them. I will then need a loan or mortgage to pay back the borrowed money and pull out a little more, around 75%LTV. Am I going to have a problem getting financing for these homes since they are under 50K? Or would it be easier for me to get a HELOC on the properties??? I need someones help with this, I am from SO.CAL where we pay more for our cars than this type of house. We plan to put renters in the house, and cash flow about $250 on each house. Any help will be appreciated.
Thanks,
uscdave