Need Advice On Rehabbing Foreclosed Property.
I have an opportunity at acquiring an 8 unit foreclosure for maybe $7,500 ( or less) which I have the cash for. After speaking with a friend who works for the county, she let me know that the properity is valued at approximately $28,000 in it's present condition. What is the best way for me to go about getting financing to rehab the property?
Thanks in advance, any advice will be greatly appreciated!
BuySellRent
p.s. I stumbled across this site through a search engine & in two days I've acquired more valuble information than I've did in 2 years of trying to learn "hands-on".
Keep up the good work!
That sounds like a great find: congrats!!! To answer your question, I would say that first you need to figure out what the amount of repairs is going to cost you. Are there tenants currently residing in that building? Depending on the scale of renovations you can pay cash for the property and then turn around and pull out a mortgage. there are a lot of variables that will determine how much you can pull out.. Give us a little more info. Good luck
Matt
Thanx flynny,
It may need around $50k in renovations (and that's on the HIGH end). I already have the crew to do the work, they are reliable, good & affordable. Now I just need to know which might be the best route to obtain financing to get the rehabbing done.
Thanx again for all the information!
BuySellRent
Hi Buy,
That sounds good. Not knowing your intentions with the property, you could always pick it up at 7.5K then turn around and sell it to an investor at say 65%LTV and make yourself a quick 15K. Just an idea.
Benny
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Thanx for the advice Benny.
That sounds like a good idea but I was also thinking of rehabbing & renting it out to have a positive cash flow coming in every month.
I will definately weigh the options.
Thanx again.
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