I Need Some Direction, Time Is Running Out For Me.
My wife and I inherited property a few years ago. 2 duplexes and a house on 1 acre subdivided. Our credit is horrible. We owe 250,000 on the property total current value over 550,000, rental income of 3500 a month when everyone pays. I would like to put all my eggs in one basket. Get a loan to tear down the single family home and build 2 more duplexes to bring my monthly rental income up to or over 7000 a month.
Should I incorporate and try to get a business loan , Any other creative ideas are welcome.
[ Edited by mattam on Date 02/05/2010 ]
Quote:Our credit is horrible. We owe 250,000 on the property total current value over 550,000
Sell it.
MC
Where is the "time is running out for me" part?
Royal Fortune was right-- sell it, quickly, starting with the buildings in the best condition.
Development money is almost impossible to find right now even if you have a good track record and good credit.
I think your financial condition is too thin to take a chance on developing the new properties. If the SFR needs more repairs than it is worth tear it down and sell the vacant land.