ok So I registered for one reason…i was reading this post and saw alot of advice…
The problem with advise is although its free its of no help to ANYONE without a SOLUTION.
Here’s a solution for Nick and anyone else who needs to get started with no credit/cash/JOB
Find and create a relationship with a hard money lender !!!
They do not care who you are what you do or how much money you have in most cases.
I have been rehabbing for over a year after doing assignments since 2000
Now assignments are great but you must be able to wheel and deal on the phone to get the deals or have a few wholesale retail contacts and they are out there …I have a book full of them thruought the country…So just get the contract on a property that would net the retailer 25 to 30% and youre in business youll only net 3 to 10 k but is that ok ? for one deal? i think so
Lender…
He lends 70% on the arv after rehab value… Yes the rate is 13-18 % but who cares if you are flipping…plus you have to pay points if you want to deffer payments for 6 months< essential>
im most of my deals i didnt pay a dime upfront to get the property !!
now am i making less buying paying thru the nose on interest and points.? maybe…
Who cares though I if ive walked out with a profit…ANY profit and i didnt have cash/job/credit
I.m happy.
DO you have to do the work to find proerties that have a 70%ltv arv?
nope…find a great realtor,tell her/him what you do and what YOUR lender requires…and they will find you the deals…dont look thru the paper…yes realtors inflate prices some but who says you have to offer the selling price…duh…
Now if you are rehabbing…be sure to find yourself a reliable guy that is LICENSED.
tell him what you are doing in the area…and ask him point blank if he will defer/work with you on upfront costs in lieu of part of the profit…
sound like yea right? its how i started and me and my partner/contractor have flipped 7 homes this year already…
only once did i come out of pocket ! never had to qualify for ANYTHING
you see the lender isnt interested in YOU just the potential equity in the property!
if you fail on the loan so what…he now has a property with equity…
now you will NEVER get the repair money upfront bcause thats the lenders security that u wont run off
Just build relationships in your farm area it is essential.
Oh and for anyone who wants my lender name ill gladly give it to you at the bottom…
Great news for you Nick …hes based in Austin, Texas
If you have 60k as well you might check with them on investing the money as a hard cash lender yourself and make the 12-18 % return and do no work at all. I do
Simply put i guess… If i offered you 13_17 % return on 60k secured by a real estate lien would you take it? answer should be yes here…thats how you go about financing your deal…
give a little extra in the end to get in the front door…
btw i routinely offer 12% to folks that want to invest in the rehabs i do in south florida/cocoa beach…if you are interested.
Heres the lender website…
www. fundusalending.com
ask for rebecca tell them lawrence sent you
the owner of the company is mike cantrell
he is a great man aside from his work as well
I have no affiliation with him he just is my go to guy…
read all up on the site first before calling …
If you folks have any other questions you want to ask me personally feel free to email me
Ciao
Biaggio