Need help with financing question for investment in Ohio $$$$$$$$$$$$$

Financing, Hard Money Lenders, Private Money
1

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

2

One of the biggest problems you’ll run into is getting a cash out loan. Most lenders will want 12 months of ownership. There are some lenders that take less, especially with 75% ltvs. The lower loan amount could be a problem too. Most brokers wont take the lower loans because they cant make enough on them.

Are you borrowing the funds from a hard money lender or individual source?

Will you be going full doc or stated?

Lots of questions needed to point you in the right direction.

I’ve got a couple ideas on these.