I wanted to know how much money do you need to start investing commerical properties? I heard that you need good credit. I been invsting in single family homes without using my credit(which is bad). Or no money. I have wholesaled liked 14 properties and rehabbed 6 in the past 2yrs. I am just tryinh to learn the commerical business, anybody have any advice would be very helpful. I am located in indianapolis, IN
Depends on property type and loan amount.
You can start with no money if you bring in a partner.
Are you seeking equity build-up, or cash-flow?
I am trying to buy apartment buildings
I understand there are ways to buy with no money out of pocket, but we have not done any of them. Our experience is that you will need some money. You can get up to 95% financing with the right structure, leaving 5% of your own (or a partner’s) money. Still that is GREAT leverage.
If you have enough equity in another property or other collateral which can be pledged you can use that for downpayment monies.
Well my credit is bad, it there a way to still get 95%? I am looking for cash flow
You will definitely need some seller financing. Can you get any?