Jun
18
JRS300 asked:
I’m currently looking to buy a forelosed property for $41,000. What I want is a loan to cover the mortage and an extra $8000-$10,000 doallrs for improvements to the home. I probably won’t put a lot of money down if any. What’s a good combonation loan?? I figure I can get the home to sell for around $70,000 when as is done with.
I would like to know the BEST LAON for me, not if it’s a good time to flip a house. Someone with experience in flipping or someone that works at a bank or mortage company. Thanks.
LOAN not laon…
Doris
I’m currently looking to buy a forelosed property for $41,000. What I want is a loan to cover the mortage and an extra $8000-$10,000 doallrs for improvements to the home. I probably won’t put a lot of money down if any. What’s a good combonation loan?? I figure I can get the home to sell for around $70,000 when as is done with.
I would like to know the BEST LAON for me, not if it’s a good time to flip a house. Someone with experience in flipping or someone that works at a bank or mortage company. Thanks.
LOAN not laon…
Doris
Comments
5 Responses to “Whats the best loan to flip / rehab a house?”
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Joyce
Bad time to be doing this. Haven’t you been watching the news?
Daniel
maybe look for a government grant. What i do is ask my rich grandparents and claim that if they loan me the 15k i will give them 20 k in 6 months. after a few times they are dying to loan me money, beats the interest rates they get from the bank
Ray
At this time, a good loan is either no loan or any loan you can get. Lenders do not have the capital to make these types of risky loans now. And, borrowers should be learning the lesson that paying cash is the way to go. You should at least have 30% for the down payment on a rental or rehab house, plus the cost of repairs, plus 3-4 months expenses.
If you have excellent credit and equity in your own home, then a home equity loan would be the best way to go. Otherwise you are looking at high interest. Even NY’s Port Authority is paying 20% for financing now because of the credit crunch. The feds keep cutting, but interest rates to the borrower are going up to cover the risk. This proposition you have is exactly what kind or risk put so many people in bankruptcy now.
Lonnie
CASH only.
fliping is great way for broke (u said u got no cash) people to go in deep debt.
check u housing market before doing this or u may be holding th bag (house) a while.
Phyllis
I am not against real estate deals that turn money but what you are doing is a real bad risk right now with the market I do beleive this is not the best time to even consider this.Flipping homes has caused this in part to by putting millions of homeowners on the street.Its not over yet.It just seems a real risk you may get stuck with the property because loans are harder to get for the average homeower now and seems where your property will be.But its your choice.Good luck!