Use Equity Line of Credit to Get Your Property Ready for Sale

 

 

For both homeowners and real estate investors, using an equity line of credit has always been the best way to get a property ready to sell. But for those of you who have tried to apply for an equity line of credit at your bank, you may have noticed that it is really difficult to get them. Fortunately these loans are still available from real estate lenders, also called private money lenders.

For those who can’t qualify at the bank, real estate lenders can provide rehab loans to help you do what you need to do to get a property sold. These rehab loans act like a HELOC or an equity line of credit because they provide the funds needed to repair or update a property.

 

These loans are far easier to obtain than a bank loan, and the requirements of a private money loan for an equity line of credit are also far less. Because many times you want to get a property sold quickly, another advantage of rehab loans is the speed of closing. A private money loan is the best alternative for a quick loan funding.

 

Here’s a nice example. This is a ‘Before’ and ‘After’ photo of a property that was fixed up using a rehab loan and was then sold for top dollar: If you can’t get a HELOC from your bank, consider using a private money lender to finance the repairs and upgrades to your property with a rehab loan.